Nifty stocks weekly view – 020511 (video)
Since the beginning of the week Nifty was already trading near the upper band of the resistance offered by an important trend line connecting its the recent peaks. Slowly the sellers exerted more control as the week progressed and it finally ended the week with a loss of 2.30% at 5749. Going forward the level of 5730 is an immediate support for Nifty, should it trade below 5730 the selling can intensify further and Nifty may come down to 5632 – Its 200 Day EMA. The entire range of 5632 to 5530 is a critical support for Nifty for next week. If the markets are bullish then this support should not be violated. Else we may see further panic in the market. Thus next week it’s vital that Nifty continues to trade above 5530. On the higher side the level of 5900 would act as a stiff resistance for Nifty, till the time 5900 is conquered decisively the trend remains weak.
Union Bank as well as LIC Housing Finance are couple of stocks that appear weak on the chart for next 8-10 sessions.
