Follow up buying needed to sustain this upmove.

Today we witnessed a good upsurge. Surpassing the golden resistance number 2863, closing at 2928 with good volumes.

There is a concern with Commodity Channel Index (CCI ) reaching 94.71. As long as no divergence is seen in CCI bulls can be comfortable. Otherwise some other indicators too display bullishness.

One has to be cautious because one never knows when a whipsaw can occur. Keep appropriate stop loss with the longs. Now a major resistance is at 3241. If nifty has to move further up it will have to consolidate at current level without succumbing to the bearish pressure. As long as bulls defend 2863.00, for few sessions, nifty can go further up. Other wise we may see a good fall.

Pivot Point Resistance and Supports

Support - 2730, 2829. Pivot - 2885. Resistance - 2983, 3039.