Leave Bulls below 5950!!
Date: 22^nd July 2013

I asked in the last week write up to remain long unless Nifty goes below 5900. We saw the lows around 5910 and 5926 on Tuesday and Wednesday respectively but 5900 did not breach and new high of 6066 was made on Friday.  Buying at correctives and formation of Xs must have done well for traders.

As said earlier, set up is bullish. 6060 – 6080 seems the resistance area for a while and there are some signals that suggests a halt in current uptrend. But P&F gives us opportunity to form the rules that are objective and simple to take.

Ride the uptrend unless Nifty closes below 5950. Leave bulls if that happens. Some shorts with aggressive exit strategy can be taken if Nifty goes below 5920.

Figure 1: Nifty 10 x 3 CL Point and Figure Chart

 Figure 2: Nifty 10 x 3 HL Point and Figure Chart

-          - Prashant Shah

Disclaimer:

All information provided above is for general information purposes only and does not constitute any investment advice. Company or Author shall not be liable for loss or damage that may arise from use of information provided above. The report is purely for information purposes and does not construe to be investment recommendation/advice or an offer or solicitation of an offer to buy/sell any securities. The opinions expressed are current opinions as of the date appearing in the material and may be subject to change from time to time without notice. Investors should not solely rely on the information contained in this document and must make investment decisions based on their own investment objectives, risk profile and financial position. The readers of this material should take their own professional advice before acting on this information.