Sep 20,2007
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NIFTY OUTLOOK - TECHNICAL ANALYSIS
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NIFTY Closes at 4494.65. Sensex Closes at 15,504.43.

It was mentioned in earlier posts that NIFTY is waiting for some trigger, which could take it either side with huge volatality, as there is a big gap between upper band and lower band. It did happen yesterday and the trigger has driven NIFTY to make historical highs. NIFTY has good chart patterns implying possible upside. However, NIFTY has closed above upperband. So, trade cautiously. On the upperside the volatality may not be too high as it is near upper band. For intraday players, 30-40 points above upperband serves as resistance.

As mentioned in previous post NIFTY is likely to test a low below 4446 and 4453 in short to medium term.

Support is at 4526.50. Yesterday's rally was driven higher liquidity. Particularly FIIs have pumped huge funds yesterday.

Upper band -> 4726.52.

Lower band -> 4139.85.

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

Stocks to Watch
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