Nifty View for 19.12.2011

Nifty was butchered on Friday from 2.00 pm onwards.A loss of 200 points from the high leaving the bulls trapped .A weekly close below the 4700 marks is bad for Nifty.The risk management level of 4750 was given on Thursday those who followed would saved the losses.For intraday trade a whopping gain of 103 points from 4747 our sell call triggered on spot nifty and reached our 6th target of 4644 and missed the 7th one by one point.So a gain of 103 points which comes to 103 x 50 = 5150.Further gains for those who vigirously follow the calls where one can add positions which was from 4712-4644= 68 points ie 68 X 50 = 3400.Total gains of 5150 + 3400 = 8550 on single lot of Nifty.Its on a capital investment on say at the margin of 30,000.So returns of 28.5% on a single day.Don't bother to look for the annual returns.I always feel the Indian markets are very good for trading with good swings in intraday and even positional calls.All one needs is discipline and tight risk management to sustain."Capital Saved is Capital Gained" should be the motto for traders.Preserve your capital with strict stop losses and profits will follow.I have started Advisory Services in Stocks(cash & futures), Index (Futures and Options),Commodities(MCX),Currency(MCX and NSE).The  Technical Analysis Classes and Astro Trading Classes have also been started at Mumbai  those interested to earn money can contact me on my email.

Now what next!Nifty looks oversold on various indicators so some bounce back possible.When is always the difficult question to answer.Also indicators can remain oversold for a prolonged period when sentiments are weak and panic selling is seen.Now longs only above 4750 can be considered with strict stop loss of 4720 by position players with initial targets of 4800-4840.Above 4840 we can look for 4928 on spot nifty for the positional players.The downside on spot Nifty can be up to 4415 as shown in chart above.Intraday players can follow the levels given below 

Spot Nifty levels for intra-day trade on 19.12.2011
No trade between 4635 and 4669(to avoid whipsaws)
Buy above 4669 with SL of 4646  for targets of 4686-4703(breakout  level on the upside,add positions)-4720-4737-4754-4772-4789-4803.
Sell below 4635 with SL of 4655 for targets of 4618-4600(breakdown level on the downside, add positions)-4584 -4567 -4550 -4533- 4516- 4499.
Happy Trading !