Nifty showed some positive trend today and closed with moderate gains. After today's move Nifty is now trading close to the resistance of 5,477. For Nifty it is now very important to sustain above 5,400 level if the upward momentum is to continue. Any move below 5,400 would be initial sign of weakness and Nifty may further correct till 5,350-5300 which is the value of trend reversal for short term.
Nifty Intraday Trading Strategy
We recommend holding on to long positions with a revised stop loss of 5,350. However if Nifty fails to remain firm above 5,400 then one must not buy aggressively and protect their long positions with a stop loss of 5,350. On the higher side, sustenance above 5,400 can result in further upside till 5,521.