As foreseen on my 20th instant analysis, Nifty Futures did not gap open on the higher side but, opened low. If you take a look at the charts, we can see that there was hardly any scope for a short since 3 of our key entry rules were not met – 1. Price closes below HMA; 2. Price closes below Bollinger Bands; 3. RSI below 50. Just a reminder, it is always advisable to take cue from the chart with higher time frame.
The first trade for long bulls on Nifty gave a neat chance to score 20 to 25 points and subsequently in the second half, JSW Steel gave a fantastic chance for short bulls to clinch 10 points.
JSW Steel – 21–02–2012
Nifty Futures – 21–02–2012
I would advise caution on over night positions.
Healthy And Wealthy Trading
