Nifty update for 30th December 2011

Nifty gave up all the gains it had accumulated over the week due to shortcovering and resumed its downword journey to retest the 52week low of 4530. As said in the previous post Reliance, ICICI bank, Axis bank cracked its major support zones and continuing its downward journey in search of new lows. Though nifty held its important support zone of 4640 it is expected to touch 4530 within a weeks time. The chart pattern says that one shouldnt be a buyer on dips and 4810 should be considered as reversal on the upside, till then lets keep 4530-4730 as the range