==>> Nifty above its resistance level of 4600

Markets witnessed huge buying interest on the first day after the F&O expiry. Buying in the OIL, banking and FMCG sector helped Nifty to close above 4600 levels and Sensex touched its new 2009 high at 15732. Sensex recent high close was 15466 in the month of July 2009. On Friday Sensex for the first time closed higher in 2009 at 15670. Nifty made a high of 4669 for the week. Nifty daily chart have made a head and shoulder pattern this week. The RSI pattern is also at the breakout of the head and Shoulder pattern. In the last few trading sessions, Nifty traded between the 2 parallel trendlines. On Friday Nifty successfully closed above the upper trendline. Bears did try to take the markets in control but lost the round to the Bulls. For the week Nifty closed 1.5% up as compared to its last months close. Nifty made a low of 4420 on Wednesday, but close above the 4500 levels. If the Nifty would have closed below 4450 levels then we could have seen 4250-4140 levels soon. Because the Triple Top pattern had been formed. But the selling had been totally absorbed on the next day. In the last article also I had mentioned that the MACD is giving a buy signal in the chart. On Thursday, I had mentioned in my personal blog (http://www.technicalsvishaldangaich.blogspot.com/) also that the Markets will bounce back. Nifty pattern has given a breakout pattern above the 4600 levels. Till the time the close is not below 4450 levels, Nifty will be in buying mode. Nifty has good support at 4450 levels. Resistance at 4693. Close above the same will take the Nifty to 4800 levels soon.