Nifty moved in a very tight range through out the day. During the last hour some buying was noticed, it managed to close green for the day. On the broader picture the story for Nifty remains unchanged. The levels of 10640 – 10560 remains critical. To make their mark the buyers have to rage up from this zone. The weekly chart displays (though today’s trading session is pending) a fall in volume profile – indicating absence of buying strength. Unless the above levels are not taken out substantially the rally remains capped. The RSI is moving into the over bought zones for bear market levels. We need to watch how it behaves from here. Better to leave Nifty alone.
Bharat Jhunjhunwala MFTA, CMT, CFTe, MSTA