![\"\"](\"https:\/\/www.cashthechaos.com\/blog\/wp-content\/uploads\/Nifty20Oct2011.jpg\" "\\"Nifty\\"")
<\/a>Nifty Daily Charts<\/p><\/div>\n
We already know that in the medium term<\/span> the bearish trend does not have a problem as long as Nifty stays below 5330. The structure marked on the chart is what is called a \"flat\" which has a tendency to exceed slightly above the high of \"a\". The 50% fibonacci retracement point of the move from the Aug high is at 5230 and we might want to keep this as important level for reversals.<\/p>\n The alternative view is that, what if the point we have marked as \"b\" is actually a truncated 5th? One of the long-term possibility is that the bulls are back for the long-term (Nifty should exceed 5177) - this seems pretty incongruous based on several measures I follow. While you need to be aware that such a scenario exists, you might also want to be aware that this rally could extend to the 200DMA (about or the blue trend line shown on the chart (5400+ zone) and still be in a bear market<\/em>. We will be using a different count in that case. We will discuss on a\u00a0separate post when the need arises with charts and the works.<\/p>\n So it is important to understand that we should NOT make any large\u00a0commitments\u00a0on either direction of the market. Keep your positions to a manageable level<\/span><\/em>.<\/p>\n The Euro seems to have put in an important secondary high 2days back and with a tight correlation with global stocks over the last few months this is going to be an important thing to watch out for. A decline to 1.3550-1.3575 seems likely and anything below that would mean that fuel for the bulls have gone empty.<\/p>\n Nifty short-term: Watch out for 5110-5085. Below this zone a quick 50 point decline could come through. If any\u00a0intra-day\u00a0traders out there, you might want to pay attention to this.<\/p>\n On CNBC, today at 8:20 IST.<\/p>\n","protected":false},"excerpt":{"rendered":" Nifty(5139): Tuesday’s sell off was\u00a0completely\u00a0neutralised and once again the focus has shifted back to the critical 5175-5200 zone. It is always important to keep an eye on where we are in the larger trend. So, here goes: We already know that in the medium term the bearish trend does not have a problem as long […]<\/a><\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[42,76],"tags":[],"class_list":["post-1101","post","type-post","status-publish","format-standard","hentry","category-indian-stocks","category-premium-content","category-42-id","category-76-id","post-seq-1","post-parity-odd","meta-position-corners","fix"],"_links":{"self":[{"href":"https:\/\/www.cashthechaos.com\/blog\/wp-json\/wp\/v2\/posts\/1101","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.cashthechaos.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.cashthechaos.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.cashthechaos.com\/blog\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.cashthechaos.com\/blog\/wp-json\/wp\/v2\/comments?post=1101"}],"version-history":[{"count":6,"href":"https:\/\/www.cashthechaos.com\/blog\/wp-json\/wp\/v2\/posts\/1101\/revisions"}],"predecessor-version":[{"id":1735,"href":"https:\/\/www.cashthechaos.com\/blog\/wp-json\/wp\/v2\/posts\/1101\/revisions\/1735"}],"wp:attachment":[{"href":"https:\/\/www.cashthechaos.com\/blog\/wp-json\/wp\/v2\/media?parent=1101"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.cashthechaos.com\/blog\/wp-json\/wp\/v2\/categories?post=1101"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.cashthechaos.com\/blog\/wp-json\/wp\/v2\/tags?post=1101"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}