Nifty View for 27.08.2012

Spot Nifty opened on Friday with a gap down at 5392.60 and was sideways for the whole day. It closed at 5386.70 very near the opening level after making a low at 5371. The positional stop loss was hit at 5388 with a weekly close below it. The trend is sideways between the levels of 5329 and 5402.50 on the spot nifty. The level of 5402.50 can again be used as a buy level with the same stop loss of 5388 by compulsory traders and safe traders can stay out within this range. As expiry is nearing the movement on nifty futures looks to be capped between 5350 to 5450 any breach of this range will mark a breakout on either side for the short term.. On charts above of nifty futures  the level of 5352 should be watched and looks achievable if the trend continues down. Break of this level will  see a faster fall on nifty futures up to 5267. Intraday traders can look at the levels on spot nifty given below to trade on Monday.

No trade between 5368 and 5405(To avoid whipsaws)

Buy above 5405 sl of 5385

targets 5425-5445(add positions, breakout on the upside),

5465-5485-5505-5525-5545.

Sell below 5368  sl of 5388

targets 5349-5330(add positions,breakout on the downside)

5311-5292-5274-5266-5248.

Happy Trading !!!