Nifty Technical Analysis For 27th Jul 09

Nifty Intraday Chart - 5 min:

On Friday, bears attacked initially to crack the market and they succeeded for a small part of it. But demand came in later part of the day, finally bulls pushed the prices up showing there strength. When price reached the resistance line, bulls didn't succeed to break out, making the levels more crucial now. It formed a raising channel with decreasing volumes in between the resistance zone and the trend line support levels. Nifty may have good support at the channel support line as well as the trend line support line which are coming to 4560 - 4550. If this levels are broken down, we may see Nifty falling to lower levels.

Nifty Chart - Hourly:

From 20th July on wards Nifty is moving side ways, which is clearly showing the reduced momentum in hourly charts. A good bullish up move is required to break through the prices, else we may see some pull back before the real up move starts again. The frequent pullback of the prices to lower levels when ever price is trying to break the resistances is giving a hint of weakness.

On the higher side 4600 may act as a good resistance, a bullish break out from which may lead the prices to go to 4640 levels. Above which they may reach up to 4680 levels which is the resistance level of the Expanding triangle.

On the lower side 4560 - 4550 may come as the first support levels, below which Nifty may go back to 4507 - 4500 levels. Below 4500 levels, Nifty formed good number of support zones, but it may see weakness.