You must read previous articles and
watch above chart carefully to understand this article completely.
Today’s outlook: -
Nifty closed above 5700 marks with
last 45 minutes pullback. I have quoted yesterday that we can see fall only if
Nifty able to sustain below 5680. It hit a low at 5679.50 and then rebounded. We
have seen four days of gain in a row. Today is 5th day from the
recent low of 5583. I have expressed a view in recent days stating that this
market might try to throw the weak hand from the market. If such thing happens
then this market can take a rise. Now suppose if those has happen then it may
have best day as today. If I am thinking in the bulls way then also I am not
very comfortable. FII pushed 2 billion dollars in the month October but then
also index remains unchanged.
In alter way; we need to focus on
5680 in the downside. Break below 5680 will give a thrust towards 5630 in a
rapid way.
Question is what is going to happen?
It is a very difficult question to answer. We need to accept that we are still
in the range except for two trading sessions in between during RBI policy days.
I am also giving views but market is not breaking any side in decisive way. We
have seen some under performance by madcap and small cap index. If such
performance continues then it can favour for bears.
Now, for today also my studies will
remains same. I will focus 5680 as support and 5730 as resistance. Cross over
of 5730 can give us 5757 to 5780. Break below 5680 can give us 5630 in few
hours. I need to be very clear that do not stand short above 5730.
Global market must be watching US
president election today. Outcome of this election will have some impact in
global market. S&P 500 has saved 1404 – 1400 support band yesterday. It is
keeping margin to trade any side for today I am still sensing that 1414 and
1435 will be stiff hurdle on rise while break below 1404-1400 will give us 2-3%
dip.
So many views & strategies but
finally this market has to decide where is want to move. Get ready for
surprises.
Regards,
Praveen Kumar
