The coming week should see some gains but it is very difficult to imagine that after a 300 point rally from Monday to Friday the next week will give us the same amount of gains that is very unlikely. So the question is for traders what is the trend, the short term trend has been up for 3 days that persists. Today's breakout tells us that the Nifty has gone up on the upside that is not very convincing because just 4 days ago we had broken down on the down side.
So Nifty needs to stay above 5600 for us to get convinced okay this is the real thing and it may well do so but we will have to give it a few days before we can say yes, we are through. Short term trade should be only on the upside buy on dips. Today is not a dip so all of you who have long positions take out half of it, take profits on at least half, carry the next balance to see if we can get more on Monday or Tuesday. There will be dips next week which will then give re-entry into this trend.
So Nifty needs to stay above 5600 for us to get convinced okay this is the real thing and it may well do so but we will have to give it a few days before we can say yes, we are through. Short term trade should be only on the upside buy on dips. Today is not a dip so all of you who have long positions take out half of it, take profits on at least half, carry the next balance to see if we can get more on Monday or Tuesday. There will be dips next week which will then give re-entry into this trend.
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