Monday, 26 September 2011

Nifty Weekly for September 26

Before starting to sulk about the previous weeks decline,  we would like to bring to notice a very important aspect which led to the declines in the markets last week - THE RISE IN DOLLAR - $ has now moved above s 200 DMA of 76 and moved towards 78 levels - above this it could also reach 79 and 81 levels which means more correction in the commodities and equities market. The commodities market saw the biggest crash in silver, gold and crude since 2008 correcting or falling, whichever you prefer, by 20 % , 8 % and falling underneath $80 respectively. 
As of right now we do see gold slipping to $1480 levels. We have not discussed gold or silver out here due to the fragile nature and price of the commodity in the current levels.

During the week we may see some uptrend on Monday and Tuesday recouping for the beating our financial markets took last week - but we turn more bearish over the week - long positions and options should be avoided except if you work with a tight stop-loss - Thursday could get bad as it is the expiration day for the derivatives products

Buy Nifty above: 4882.51   Targets: 4897.55 - 4915.05 - 4932.59 - 4950.16 Stoploss : 4865.06

Sell Nifty below: 4865.06   Targets: 4850.06 - 4832.66 - 4815.29 - 4797.96 Stoploss : 4882.51

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