FKLI Daily Commentary for 12th May 2010

FKLI Apr Futures contract traded 5.5 points lower to close at 1332.5 levels as compare to previous trading session to with a total of 8,201 lots traded in the market. FKLI was traded lower in the 2nd trading sessions as most of the regional indices and Dow Jones electronic trading were traded lower despite FKLI was open higher due to Dow Jones firm overnight trading.
FKLI failed to penetrate resistance levels at 1341.5; 78.6% and 350% Fibonacci resistance levels, which directly leads to further sell down towards support levels at 1332.5; again 78.6% Fibonacci support levels, from the nearest wave 4 count. Technically, FKLI was assuming complete rebound wave at 1343.5 regions before resume on correction count towards south where next nearest support levels were seen at 1327 and 1320, both are 78.6% and 123.6% Fibonacci support levels. However, it’s crucial that resistance levels at 1337 and 1341; both are 50% and 78.6% Fibonacci resistance levels, were not violated in the coming trading sessions.