Nifty

Would it be just one kiss story or will go further?

Technically today was a good day on Nifty daily charts but the weekly closing hasnt been that significant for either side move. So we have to stick to daily chart analysis to get some clear trend. As we saw yesterday, that low was exactly kissed at the strong support of 6960 which was previous weeks low and also the Fibonacci support so it holds alot significance. Today it was trading way above that support but closing has brought me some fear for bulls back. Now the question remains that was yesterdays low to support just one kiss or we can see it again? Though its just a fear which can be controlled. Monday’s opening would decide whether Nifty charts have overcame fear or not? Whats the fear? ….Doji candle on closing today! It has peculiar characteristics of being a a part of reversal pattern and also a continuation candle signalling just a pause to current trend.  Only Mondays opening could tell us what exactly todays Doji signifies!! What should we keep in mind? 1. If we have even a marginal negative opening and if we dont breach todays high, then Doji would take a bearish view. 2. If at any point of time we breach todays high,  Doji could be considered just a pause to upside and rally should resume. Though these are the basic possibilities, but a significant one.  Though its a Budget day so we should keep positions hedged either ways

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