Nifty 3335.80
Short term trend in Nifty is looking bullish and this view holds good as long as Nifty stays above 3300. And as long as Nifty stays above this level, it has potential of testing higher targets above 3400.
Positional traders can exit their long positions, if Nifty trades below 3300.
Today, it seems Nifty is likely to bounce from 3310-3320. Initially, it should cross 3355 and sustain above this level for further upside.The stop for the longs is 3300.
Reliance 1064.50
Short term trend in Reliance is looking bullish. If Reliance doesn’t violate 1045, then it has potential of testing 1100 and above in coming trading sessions. Below 1045, it could test 1030, but the bullish view would remain same.
Medium term Outlook of Nifty
For the past few weeks, I have been mentioning that the maximum possible downside potential is limited to 2500 level for Nifty. If market doesn’t violate this level here after, the long term bullish trend will remain intact. Correction extending beyond this level is highly suspectable and we have to rework the long term charts. Now, one can remain invested for the long term with a stop at 3200.
The post correction scenario has two possibilities. One possibility is, Nifty is likely to move towards its all time high in a slow manner and if this is the case, then it may take 6 months to 1 year to cross the all time high. The other view is, Nifty is likely to move towards its previous high without any major downside correction and in this case, Nifty is likely to cross the all time high before the end of August 2006. If Market moves in expected lines, then once again we are likely to see a strong bull market in coming months.
