HAVING BREACHED THE NECK LINE OF THE DOUBLE HEAD FORMATION AS GIVEN IN THE CHART ABOVE, NIFTY IS ALL SET TO TEST 4252 LEVELS IN A FEW DAYS TIME. IN BETWEEN THERE MAY BE A FAINT POSSIBILITY OF NIFTY RISING TO TEST THE NECK LINE AROUND 4425 SPOT LEVELS. FOR TRADING ON TUESDAY, EXPECT NIFTY TO BEHAVE SIMILAR TO MONDAY. SLIGHT RISE WILL MEET WITH HEAVY SELLING PRESSURE. IF NIFTY SPOT CROSSES 4425 , THEN IT MAY BE TOUGH FOR IT TO CROSS 4450 WHERE ONE CAN RESORT TO SHORTING, WRITING OF 4500 CALLS AND BUYING OF 4400 PUTS. ON THE DOWN SIDE, EXPECT INTRADAY SUPPORT TO COME AROUND 4477 & THEN AROUND 4463. BREACH OF 4463 & INABILITY TO SUSTAIN ABOVE IT FOR A FEW MINUTES CAN BRING NIFTY DOWN QUICKLY TO SUB 4300 LEVELS TO TEST 4250 LEVELS WITH SMALL FIBONACCY SUPPORTS AROUND 4346 AND 4311
Banking and realty might see some pressure early in the morning. ICICI and HDFC might lead the slide today. Telecom Operators like Bharti Airtel and Reliance might see some pressure as Telecom regulator TRAI