Weekly momentum turns positive

The Nifty has achieved the conservative target of the
inverted head-and-shoulder pattern quite smoothly. Now,
on the upside there is a resistance at the previous high of
5400. Hence the Nifty needs to clear that obstacle to go
higher. On the lower side, the hourly averages are good
short-term supports. Now, above 5330 the Nifty is likely
to make a new high, ie above 5400, to achieve the
aggressive target of the inverted head-and-shoulder
pattern that is at 5500. The interesting point to note is
that the weekly KST has come into buy mode which is quite
positive for the medium-term bulls too. Hence, we maintain
our short-term bias up.