3160 points. From the opening, the Bears dominated the day
knocking off 229 points (6%) at last trade. With Heavy weights
slipping, all the Sectoral Indices closed deep in the red. The A/D
ratio was highly negative and the volumes remained almost the
same.
We are seeing an “engulfing bearish” pattern (though not classical)
on the Nifty. The Bears again hit back in the right area (3130-
3160). The downswing gained further momentum when the 3085
points was broken decisively. Unless 3255 points is not crossed
preferably in closing, upside is capped. Again the Nifty is near the
38.2% retracement (2863) of the rise from 2252-3240 points. A close
below it for a couple of days may once again see a lower top lower
bottom with support at 2790-2750 points area.
Intraday, pivot at 2945 points needs to be sustained for any
recovery. Resistance is at 3025, 3084 and 3130 points while crucial
support in declines is at 2848 and 2790 points. The Nifty has given
an alarm after breaking 3000 points. The Bulls have to gear up
quickly otherwise the Bear haunt continues.
NIFTY Intra Week
Volatility 508 pts
S1 2686.75
S2 2451.80
R1 3120.40
R2 3357.15
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