Market Outlook 23 December 2009

Nifty (4986)

Yesterday Nifty tried to kiss 50 days SMA and finally ended forming “Double Top” at 4997 level which will now work as a good resistance. Stochastic is hovering in over sold region so bounce back from here is expected but sustainability is still on qualm. MACDh and RSI is showing some sense of recovery on chart. Important point to note here is that volume is quite low compare to average day volume since last few trading days. Over all scenario is still murky and recovery is possible only if Nifty closes above 20 days SMA which is placed at 5065 level.

Intraday Support:-4970-4953-4937

Intraday Resistance:-4997-5013-5035