Nifty - Short Term View

Nifty Spot View for 2nd Aug:

Since yesterday we are spreading a word of caution to
our clients to avoid fresh long positions at the crucial
resistance zone of 5250-5300 and here are the reasons:
1) As you can see a rising wedge formation ( bearish ) on hourly charts
    which means Nifty can fall to 5150 if the rising wedge is broken &
    the momentum on downside will rise below 5210
2) Gap between 5260-5300 remains unfilled & will be acting as a resistance
3) Important Purple trendline coming from Feb highs which has more .
    significance on daily charts will act as resistance & is placed at 5300
4) Pink trendline joined by all the tops on hourly charts since
    since 11th July is also placed at 5250


So the strategy should be to Sell Nifty at 5230-5250 add shorts on rise to
5275-5290 stoploss 5320 targets 5175-5150



Regards

Ankit Chaudhary
Techincal Analyst
Analyse India