weekly nifty

Nifty hit target at 4970/5000 level on Thursday and the week closed near a 61.8% Fibonacci extension level at 4985. As we can see all equity markets are running higher nicely and hence almost doubling the value since Feb 2009 low level. However from functional view point, at this moment I would be little cautious as it looks like a good amount of pull back is more likely to come. From technical view point, daily candlestick pattern suggests a DOWN days for early next week. Past 3 days CANDLE’ s open/low/high/close coincides a level between 4950 to 4980 zone. Hence level ( 4955-4985) can be a guide for our next week trade plans. So, we will have two plans for both UP and DOWN scenarios. If nifty opens slightly lower and comes down, then SELL below 4950 with stop loss at 4980 for target at 4920 and target2 at 4890 and target3 at 4850. If Nifty goes higher and crosses 4890, then BUY above 5000 with stop loss at 4965 for target1 at 5060 and target2 at 5110.