May 3,2007

NIFTY OUTLOOK (Based on TECHNICAL ANALYSIS)
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NIFTY CLOSE 4087.90.

NIFTY has signalled indecisiveness again. So further upside or downside may depend upon some triggers from local or global cues. If a lower high and lower low occurs today, then it may serve as a foundation for download trend in the days to come. So, today's movement in NIFTY may act as a trend setter for this month.

NIFTY likely to test 4217.90 in medium term, although the time frame cannot be predicted.

As mentioned in previous post an intraday low below 4110 & 4060 were tested on Friday and Monday session.

Now, it is time to mention the lower side targets- an intraday low below 3575 is likely in the medium term. This doesnot mean that market would turn bearish immediately.

Immediate support level for NIFTY stays at 3980.65. Immediate resistance stays at 4113.30.

UPPER BAND-> 4267.92

LOWER BAND-> 3614.65

Upper band provides scope for higher upside, if there is an upward momentum. 20 to 40 points above upper band may act as intraday resistance zone for NIFTY.

Note: These views do not have any relevance to NIFTY futures.

STOCKS TO WATCH
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