October 17, 2008, Nifty

Asia is up and US was up overnight. We should open gap up. The down move of yesterday was short lived with a smart recovery. We ended up with a hammer candle. Another trend reversal sign. For an up move to set in Nifty will have to close above 3404. If that happens Nifty could be winding up for a strong rally all the way to 3600.

Trading strategy: Play for supports/resistances breaks or bounces
Supports: 3099, 2800
Resistances:3404, 3500