Nifty View for 23.01.2012.

Are we entering into resistance zone for nifty? Are we are looking at double top scenario on spot nifty. Will nifty sustain above it! This rally on nifty is the "Rally of Disbelief".Traders  and investors were both caught on wrong foot.In this series serious shorts have been trapped with short covering happen at every rise.Will nifty provide relief to bears till expiry is to be seen ahead.One lesson to be learnt from this rally is never question the trend.Also never short against the trend.Profits are to be made by following the trend and not doubting it at every level and questioning how much more will it rise.The last ditch high made in closing hours of Friday has created small doubt and prompted to book profits for the week.Positional Traders are long as per our call with buy at 5000 level with stop loss of 4980.The trend is up and no reversal of it is confirmed.We need to be cautious around the 5100 level of earlier top.This week being expiry week one can book profits and play safe for expiry and let the trend decide which way it wants to go.The resistance zones are shown in chart. Astro events suggest minor reversal so one need to be vigilant for it.Use stop loss levels as per risk capacity and keep booking profits.Expiry will be on 25.01.2012 for Jan series due to Republic Day Holiday on 26.01.2012(Last Thursday of month).Intraday traders can look at the levels given below for trade on spot nifty for 23.01.2012.

Spot Nifty levels for intra-day trade on 23.01.2012
No trade between 5031 and 5066(to avoid whipsaws)
Buy above 5066 with SL of 5046  
for targets of 5084-5102(breakout  level on the upside,add positions) 5120-5138-5156-5174-5192-5209.

Sell below 5031 with SL of 5051 
for targets of 5013-4995(breakdown level on downside, add positions)-4978 -4960-4942- 4925- 4907-4890.
Happy Trading !