SMO SAR for Nifty ji: 22nd Feb'12

CMP : 5607

CANDLES : Tryst wid making Higher Tops & Higher Bottoms still continues for 3rd Straight Day.

RES ZONES : 5648 / 5716 / 5752 SUPPORTS : 5412 / 5514

Obsvs for SMO SAR :

1. EOD Price closed >> 5DHEMA (5557)

2. Tgt of FLAG (mentioned last week) T1: Flag Width = 5412 + 90 = 5502, T2: Pole Hgt from break-out = 5412+320 = 5742 !

3. 5DLEMA (5494) >> 10DEMA (5461) , pointing to this move being an IMPULSE for HIGHER DEGREE , may be ??



SMO_SAR VERDICT:

1. Bullish until prover other wise, carry longs with TSL @ 5DEMA (developing, so pls keep the Excel calc ready!). Followers of JNSAR can keep TSL @ 10DEMA also, for SMO_SAR , TSL is the moment dy/dx changes sign for the curve of 5DEMA

2. Have no view on Shorts, for now. But jus becoz the Run up has been so huge, heres the Alt option for Bears :-

Agressive Bears : SHORT ONLY on close EOD below 5DHEMA (developing again, so excel needed, present value= 5557)

Passive Bears : SHORT ONLY on close EOD below 5D-LEMA (developing again, so excel needed, present value= 5494)

cheers