Update on The Ultimate Momentum Signal -17th, March 2010

  The Breakout - Day 12

  Finally, Reliance Joins the Party...!

Till yesterday, the Nifty futures were trading sideways and this blog had pointed out the non-participation of Reliance in the rally. This is what we wrote yesterday :-

"The fate of the uptrend seems to be depending on the participation of the market heavy weight Reliance. Till today, Reliance seems to be unable to break out of the convergence of the 200, 100 and the 50 day moving averages at the 1030 - 1040 range. See the chart of Reliance showing the convergence of the various moving averages."

Today, Reliance broke out of the convergence zone of the moving averages and see what happened to the stock and the markets...!

Reliance - Daily Chart with Moving Averages  

Reliance started the uptrend right from the morning and never looked back. Today, the Nifty futures

Update on The Ultimate Mometum Signal

  The Breakout - Day 11

  Loss of momentum continuing ...?

Today, the Asian markets traded with a downward bias, fearing further monetary tightening  in China. The Nifty futures opened lower at 5122 and traded to a low of 5105, in the first  two hours. Later, the markets rallied and closed almost at the high of 5136. However, concerted selling in the futures were seen at the 5136 to 5136.25 range, whenever the futures reached those levels. But the sellers were not seen trying to damage the price by selling downwards. Please see the intraday chart of the futures given below.

Nifty Futures - 5 Min. Chart

All long positions in the Nifty futures entered as per the buy signal on 26th Feb. need to be protected