FOLLOW UP 4 - WILL IT REPEAT THE SHOW ONCE AGAIN ? ---- POSSIBILITY OF GOLDEN CROSS ?

On 22/2/12 in this post ( http://kolhapuritrader.blogspot.in/2012/02/short-term-view_22.html ), it has been mentioned that ---
Today's price action suggest that the much awaited correction has been started. Now in coming days nifty is likely to  fall up to 5350-5400 ( which is the break out level ), or it may fall up to 5200. After testing one / both of these level it may regain it's upward journey for target of 5700-5800 and then 5900 -6000.

Today NIFTY all ready reached up to 5406. And interestingly it closed  above breakout level (around 5415), weekly first support (S1 -- 5410.75), and monthly first resistance (R1-- 5416.15), so in spite of yesterday's and today's weakness there may be bounce back on Monday.

ONE MORE INTERESTING THING -- IF IT HAPPENS IT WILL GIVE MORE STRENGTH TO OUR BULLISH VIEW.

   THIS IS LONG TERM DAILY CHART OF NIFTY SINCE MAY 1994, I.E. ALMOST FOR 18 YEARS.

In this chart kindly note that 50 EMA and 200 EMA both are at 5177. If 50 EMA crosses 200 EMA and goes above 200 EMA it is bullish sign ( possibility of uptrend ), the possibility of up trend will get strength. 50 EMA crossing above 200 EMA is known as ''GOLDEN CROSS'' in technical terms.

ALWAYS KEEP THIS IN MIND : - If from this level or after going above 200EMA, 50EMA turns down or remains below 200EMA possibility of sharp fall and even breaching the recent low 4530 will be there.

NOTE : IF NIFTY BREACH 5400-5415 THERE IS POSSIBILITY OF SHARP FALL AND MAY FALL UP TO 200 EMA / 200 SMA WHICH ARE APPROXIMATELY AT 5150-5200 RIGHT NOW.
         NEXT 3-4 WEEKS THERE WILL BE LOT OF NEWS FLOW LIKE --- G.D.P. DATA WILL BE ANNOUNCED ON 29 FEB., OUTCOME OF U.P. ELECTION RESULTS, UNION BUDGET PROBABLY ON 16 MARCH, SO THERE WILL BE LOT OF VOLATILITY IN COMING 3-4 WEEKS.

 CAUTION : - EVEN THOUGH TECHNICALLY OUR MARKET IS LOOKING BULLISH, THERE IS NO IMPROVEMENT IN FUNDAMENTALS. BUT AS PER SAYING FOLLOW TECHNICALS  (CHART) FUNDAMENTALS (NEWS) WILL FOLLOW. SO WE WILL FOLLOW TECHNICALS IF THERE IS NO IMPROVEMENT IN FUNDAMENTALS OUR CHARTS WILL INDICATE POSSIBILITY OF FALL.

  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.