31 July 2013: Nifty Elliott wave analysis: No great sign of revival is coming. Nifty may extend fall towards 5680 levels if it sustain below 5730 levels. Even 5800 will act as resistance from now onwards.
You must
read previous articles and watch the given chart carefully to understand this
article completely.
For 31
July 2013: -
On 30 July
2013, FII Bought INR 256.45 crs and DII Sold INR 415.00 crs
Government
of India and RBI wants to handle the weakness of Indian rupee but they failed
on that front too. Indian Rupee was touching 60.70 yesterday. Expect another
panic flow today also. All those useless steps to handle rupee has given a jolt
to stock price. I do not remember when economy was under this kind of panic
last time.
One need
to note that half of trading volume on Indian rupee is coming from overseas
market where regulators cannot act. What they are betting? They are betting for
India rupee to hit 65 against US dollar within a month. This seems to be worse
than 1997 Asian financial crisis.
India will
eagerly towards US market and hope that QE should more. Technical chart has
turned to a fearful note and never looks like this before. Charts are suggesting
that break below 5730 will give fall towards 5680 levels. Remember, it came at
monthly low with just five days of fall. Now, even 5800 may act as stiff
resistance.
Logically,
recovery should come but there is no visible sign yet. Visit again to read my
intraday updates as I can update about those only during market hours.
Strategy
for Nifty July future – SGX AUGUST NIFTY is
down by 20 points. It may open near 5780 levels. Any further trade may give us
levels of 5740-5730 marks. It may see panic which will come from currency
market. Will it recover now? May be it can but we need to see some technical
formation to bet on those. So far, it is so bad. On higher side, it will face
resistance at 5820 to 5850.
S&P
500
– I can still say that US market is on dull note but not on the weak note. This
pause near high is a signal as bulls set up. This market is not like India.
Technical charts are still saying that it will break 1700 on higher side as it
is still reviving above 1675 levels. All eyes are on fed minutes now. Expect further
2% rise on the cross of 1700 levels.
Regards,
Praveen
Kumar
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