Tuesday, September 7, 2010
Nifty reaches centre of M2 in daily scale
The following comment was made last month, just before ONAM festival:
"Today(19-8-10)Nifty opened at 5506 with a gain of 27 points, declined a bit to 5495, moved up to 5545 and closed at 5540 with a gain of 61 points in M2(Prati Madhyamam - Low, Centre & High are 5464, 5642 & 5797 respectively). Though a move to the centre of M2(5642) is logical, other figures are not supporting for such a move now." Today(7-9-10)Nifty reached the centre of M2 in daily scale when it reached 5626. To reach centre of M2 in yearly scale Nifty has to move to 5642 ie. just 16 points up. If global cues favors Nifty may reach that level tomorrow, otherwise today's high has to be treated as the centre of M2. Nifty futures range today was 5572 - 5613. Tomorrow's Agni level is at 5616. Nifty is likely to close below that level unless Nifty moves up again tomorrow to reach centre of M2(5642). Not repeating to exit longs when Nifty closes below Agni level as it is known to you.