WILL IT HOLD 5170-80 TODAY?

Due to weak global cues nifty opened gap down today so now the big question is will it hold 5170-80 today( the previous resistance should act as support )

CHART 1 : NIFTY EOD

As shown in the chart 1 previous resistance ( blue line ) may act as support for this fall / correction.

CHART 2 : HOURLY

As shown in hourly chart 2, nifty is range bound whithin 5215- 5315 since 1/11/11,  so now if hourly close is below 52125 it may target 5215-100 =5115 . Also in hourly chart there is descending triangle formation which gives target of 5065.
Also if u observe chart 1 50SMA ( shown in pink colour) is at 5050 on daily chart.

CHART 3 : DAILY

Also as shown in chart 3 5030-40 area is tested so many times so  it will act as support.

So now if on hourly if it closes below 5210-15 it will target 5115.

And today if it closes below 5170-80 may be 20-30 points here & there so if below 5150, being today is last day of week, nifty will become weak and it will target 5050-65.

Conclusion : short term - downtrend target 5115, 5050-65.

                    medium term - uptrend target 5250-60 (50EMA & 50SMA) on hourly chart, 5400 (200SMA on daily chart shown in pink colour in chart 1). Also 5400 is approximate value where downtrend line is acting as resistance on weekly chart since november 2010 as shown in chart 4 below.

CHART 4 : WEEKLY

In short once again nifty will be range bound only in near term and range will be 5050 to 5350-5400 and 5200 being mid point.
NOTE : UNTILL WE PREPARE THIS POST AT 10 AM NIFTY CLOSED AT 5185.50 WHICH IS BELOW 5215, SO IT LOOKS LIKE AT LEAST IT WILL TARGET 5115 WITHIN 2-3 TRADING SESSIONS.

CHART 5 : WEEKLY, INSIDE BAR

As seen in chart 5 nifty made inside bar last week , low of which is at 5201.85 so  today if it closes below 5201.85 it will be bearish.

SO IN SHORT IN SHORT TERM NIFTY LOOKS WEAK.
DISCLAIMER: This Blog is meant for sharing my trading ideas only and no calls to be taken as trading recommendation. Visitors please do your own research or consult your advisers for safe trading.