Almost flat opening is expected with possibility of choppy session ahead , as nifty is trading at crucial level. Falling trend line and 20 week moving average will try to pull it towards south but speculators will try to hold it above these levels ahead of RBI credit policy due on 03 May . As the RBI gets ready to unveil its monetary policy for fiscal year 2013-14, the expectations are huge as it comes in the backdrop of a sharp correction in gold and oil prices, the two biggest contributors to India’s Current account deficit (CAD). 5870 at spot is fib retracement level, if spot will move below 5870 then bears will take control and Nifty will slip to 5820 30 level . Bearish harami candle was spotted at last eod chart .
Trade in Nifty futures as per these levels
Buy at / above: 5909 Targets: 5926 – 5945 – 5964 – 5983
Stoploss : 5890
Sell at / below: 5890 Targets: 5874 – 5855 – 5836 – 5816
Stoploss : 5909
How to make money from trades …
First of all watch the market and try to find out its trend , is it bullish bearish or neutral/ range bound or choppy . Check volatility if it is there or not . If trading in range find out its top and bottom and if range will break will it move up or down. If in range bound market , you feel for possible breakout then buy at lows and place your profit booking orders near or below top of range with strict stop loss below your buy level. Incase you are predicting for break down always go short with sl with profit booking order at bottom of range once exit place sell order again at top of range.
If you are seeing an established trend then never place profit booking order just enter in trade and trail by stop loss order …Chart is showing that reliance capital was trading in range 336 – 340 till 2 PM . after 2 PM break out was seen and moved all the way from 336 to 356 .. the chart is best example both range bound and trend trading during intra session.
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NIFTY OUTLOOK AND TRADING LEVELS FOR 29 APRIL 13