Nifty Futures at 4720

Nifty Futures is at 4720. This level was the low on August 29, 2011. This zone was revisited on 4 October. This level was broken on 23 November. Today Nifty has found resistance at this zone. This zone will serve as important resistance if this downmove is to continue.

Also see the importance of this zone in March 2008 after the crash and also in June 2009 after the election gap-up.

A decisive close beneath this is bad news for the Bulls

Nifty breakdown from wedge...potentially bearish

Nifty has broken down from a wedge. If this breakdown sustains ie it is not a false breakdow, this is potentially bearish for the Nifty. Keep an eye on this pattern.

Nifty Futures Update

• Nifty is in a short term uptrend now
• Nifty seems to have taken support around the 50 week EMA
• 50% retracement of fall from 6350 in Nov 2010 to 5180 in feb 2011 is 5770, 38.2% is 5632.
• Fallen a large amount so retracement s happening
• 5550 is an important number to be taken out
• Whether this uptrend is sustainable we will have to evaluate later