EOD Update Nov 30 2010

La Belle Dam Sans Merci ----

Shorters trapped today . But today was not a short covering day .Today Bulls were really back in action owing to the positive GDP data . After the initial sell off NF stabilized and moved to clear major resistance of 5840 - 5860 -5880 and even moved higher. The momentum is clearly in favour of bulls .. I would term it a cautious optimism.The reason being while 5900 puts OI increased not much covering in 5900 calls -- Implies that still 5900 - 5925 NF is a decent resistance to cross.Only a Gap up can clear that resistance or  a fast rise setup.

For tomorrow 5837 - 5845 NF would provide a good support and any dip towards 5840 may be utilized for buying. 5925 NF is a resistance to be cleared above which we may move sharply to 5987 - 6041 level.For a short term Bulls are back with vengance so any dip should be used for buying. On the NF chart today closing makes a bullish engulfing candle which suggests upside.

EOD Update Nov 29 2010

A cautious up move ...

After a panic of  two weeks we can say that NF stabilized today . If I have to interpret then we are done with a short term bottom as of now. Today NF move slowly gaining strength above the resistance of 5801 and 5840 but the move halted at 5860.5860 NF is acting as a tough resistance as of Now.Also the EOD charts are not indicating any thing except that volatility is getting reduced.

For tomorrow the support comes at 5827 NF and resistance at 5860 NF. Tomorrow morning ORB would be very useful in deciding the trend as any side break out would give a good move.

EOD Update Nov 26 2010

There's always another sunrise !!!!!!!

A really bad month for me with just managing to recover my losses but no profit. Markets not favouring -- system crashed --- not able to update Almost all problems at a time.Well then there really lies the true spirit of man just to fight till he gets knock down or completely out.

A delighful month for bears simply the best. It reminds me of the last diwali. Last diwali too SBI made a new high then till expiry almost 400 odd points down. History has reapeated again this diwali. Not much to say you can get the idea by simply remembering the last diwali.

The dynamics of market has chaged drstically in the last 14 days.I was completely wrong in judging the market and I have paid the prize of it.Never underestimate the market just follow it and that is what i have learned the hard way.

Looking to the weekly charts we are nearing a bottom quite exhausted -- why i am stating exhausted because the kind of vertical fall expected is not happening instead there is immense buying happening at lower levels.Look at the EOD charts do you see any selling ?????? I leave it on you.The whole world is talking about now 3800 odd levels. Time to be cautious NS just managed to close above 5950 at 5951. Does the bell ring. It is just a game plan by the big players to trap the shorts the reason being if there are no shorts then who is going to buy. For the time being 5750 is the established bottom and look for buying for target of 6041.

For monday obvious resistance lies at 5801 NF and above it 5840 NF. The dynamics would change entirely above 5860 so dont short blindly as we are nearing the bottom and a decent upmove till 6041 NF is observed in the market.

Currenlty i am holding 5800 calls to be square at 6041. After 6041 NF i would decide on the future move of market whether to hold or not.

Cortsey : www. icharts.in