21 September 2011

Nifty : Getting FED up!

Nifty has long been in a large trading range, the range though is getting tighter and tighter. Tonight's FED minutes can be a range breaker or can be a non event. Can't say how much of QE3 has been priced in, but surely things will move out of this range in near future.



I have marked the above hourly chart with the 3 trendlines, which I feel will matter most in near term. I have also noted some obvious comments on it. My preferred expectation though is a break out above 5170, trapping bulls who would be playing for 5300 and a sudden reversal back into the trading range, most probably going all the way to 4900.

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