Yesterday I mentioned about the 4685-4640 before any considerable bounce on Nifty. It might not exactly touched 4640, but came will into the support zone discussed. So as the correction continues on the upside, it'll leave bulls in the two mind, whether the down move is over or another fresh leg of down move is pending. Looking at the magnitude of the down move, the current intra gains look very much like a correction and not a reversal of the current downtrend.
But one thing I want make very clear as some people also seeks for longer term trend and find it confusing to gauge that from my intra day analysis and levels that longer term uptrend is still intact and kicking. Intermediate/medium term trend is surely down. Very soon I'll be posting a probable path and projection of Nifty for longer term (as a very handsome correction is on, I personally believe that it is the right time to invest, if it is uptrend at all :-).. will be unfolded in my longer term chart). Practically it takes out the juice from one when it comes to juxtapose 2 different time frame, when in a different mode, to take a trading/investing decision.
Supports: Crucial and real tough job to take your trading decisions. 4740/35 is the immediate support level, below that 4710 is very much possible. According to me, it's important for Nifty to hold any of these two levels to resume the up move. Below that 4670-4640/30 zone.
Resistances: 4825 as discussed yesterday, still intact. Above that 4840 is another important hurdle. So 4825/40 can very well be the BO point for the upside. Above that 4885/95-4975 and further levels discussed possible. But remember, intermediate downtrend will be completely negated only it manages to cross and trade above 5085 level.
