Talking of a broader perspective, it is better to look at weekly charts since the hourly and daily charts show only gloom and doom. The island reversal which readers might recall was pointed out here, has really marooned the bulls in the deep sea.
The weekly charts too, don't show any ray of hope, nevertheless, a startling fact comes out.
Since 2nd May 2008, Nifty has been going down and closing negative on a week to week basis, and this has now happened for the last 7 (SEVEN) consecutive weeks.
The next week is a Fibonacci number (8), and a good reason for bulls to show some spine.
It is highly likely that the level of 4800 - 4840 on the Nifty will be protected, and the levels on the upside are as shown on the chart.
A possible final target for an upmove is 4530 - 4540 in the next few weeks. The level 4740 - 4750 looks an impregnable fortress as of now, and cannot be crossed so easily.
To put in a nutshell, happy days might be here again (for the middle aged traders who have seen the old Thums UP advetisements)
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