Wednesday, August 6, 2008
Nifty Still in No Man's Land
See the chart. See what I was saying yesterday. The only thing that bulls needed was a close above today's one. BUT, they failed (see red circle). See how bad the closing for today was, it ended up being a SHOOTING STAR and see the volumes !!! even higher volumes??? what does it mean? does it mean the volumes for buyers were higher? OR does it mean the sellers sold heavily after initial upside?
Well, to take into account, FIIs are net buyers to the tune of Rs. 1815 Cr today !!! (covering their shorts or net buyers?) and see the DIIs are net sellers (booking profit or selling at good time?) to the tune of Rs. 804 Cr !!!
Confused??? so am I. But one thing is not confused - the trend line Line 1. Even today Nifty could not manage to close above the Main Downtrend Line - Line1. And for the time being, Line 3, the Previous Important Support Line is also holding firm.
If it does not happen this week, then chance for bulls to turn things around completely will fade, that's what I think.