Nifty support is pegged at 4791 and 4683 points

The Bears showed no respite knocking down another 300 points in the Nifty. Market sentiments were weak with Reliance Power listing below its issue price and closing 20% lower. From the TREND Direction intraday low of 4803, the Nifty rebounded but the mighty Bears Short Term DN shaved off all the gains (175 points) in the last 30 minutes of Medium Term DN trading. Nifty Futures registered new low with the widening to 50-60 points. Volumes were lower than previous session while the A/D Long Term UP ratio was highly negative at 1:10.

When the crucial level at 4940-4966 points got breached, the AVERAGES markets witnessed further Bull liquidation. A retest of 4966 points met with fresh Bear attack. Only IT scrips showed resilience while Daily among the Heavy weights RIL, SBI and ONGC were the worst hit 13 sma 5228.21 (down 6-7%). Even after the Nifty rallied to 5545 points short term 34 sma 5690.13 continued to remain down. Trend line resistance in orange (5226 points) needs to be decisively crossed for any upside. Immediate 89 sma 5710.58 support is pegged at 4791 and 4683 points (78.6% retracement of the rise from 4448-5545 points). NIFTY Intra Week

Till date, yesterday’s close was the lowest of the year 2008. Intraday Volatility 471 pts crucial support in declines in the Nifty is pegged in the 4660-4680 S1 4921.33 points’ area. The 4897 points is the pivot while immediate S2 4722.32 resistance is at 4991 points. Markets are highly volatile with huge R1 5330.13 intraday swings; let the dust settle.