Nifty broke 5660 on the upside and moved towards 5730 zone and we got a good intra day trading opportunity above the reversal point.The advance/decline ratio was good and the turnover data too was good but the large cap stocks were lacking the momentum. We are at 61.8% retracement level of the fall from 5820 levels and 5730-5750 are another crucial points from where it can go back to 5660 levels. Thus the previous resistance zone of 5650-60 zone would act as the support in the near term as lot of buyers came in after that. If we analyse the time cycle of 2010 and 2012 there are couple of similar happenings. It formed a top around 7-8 of Nov 2010, came down and started moving up from 26th of November and started falling after December. In 2012 too nifty is following the same time cycle and we could see 20-21 Dec and 4-5 Jan as crucial days.Among the stocks Hindalco is about to break out from a bullish flag formation and it would be trade on the long side above the previous high with a stop below 3-4 points.
