10 September 2013: Nifty Elliott wave analysis: Wild gap upcoming as bull’s cheers for global cues. Decisive and challenging levels are at 5820-5850. I say, buy any correction if comes. I am holding all long.

You must read previous articles and watch the given chart carefully to understand this article completely.

For 10 September 2013: -

On 06 September 2013, FII Bought INR 800.71 crs and DII Sold INR 238.53 crs

Bounce is expected to continue on strong global cues. Many times I said to buy in recent panic dip. What a great levels it has given on many stocks. Nifty has already moved by 10% but gain is still expected to continue. I was expecting this to come at 5700-5800 levels which should be reality by today itself. I am sensing that rise will have even bigger extension. I would not be surprised if it violate ‘death cross’. If it crosses 5820-5850 levels then 6000-6100 levels are also possible. What I said at 5200-5300, I am repeating again. Buy and hold. If Nifty can bounce from 5118 to 5800 then it can bounce even for shocking higher levels.

From last Monday itself I have quoted for vertical fall on USD against INR. It is slipping from 68.80. Now my expectation is that INR may come in the zone of 62-60 levels. It is just pure technical correction. It has nothing great to do with economy fundamental. Remember, stock price can recover but not economy. New RBI governor took some sensible steps.  All thanks to him and few thanks to technical charts too.

I said, “I had discussed about ‘inverse H&S’ pattern on hourly chart with decisive break of n- line will be above 5590-5600. Somewhat it is not visible on daily charts to too. I am little ambitious and hoping this market to come near ‘death crossover’ which is at 5850.” It may be reality with this morning. Critical point is at 5800 marks. Be cautious at today’s top if it comes at 5800, 5820 or 5850. I am strongly saying, buy every dip and bet for higher levels.

Visit again to read my intraday updates as I can update about those only during market hours.

Strategy for Nifty September future – SGX Nifty is trading with gain of almost 100 points. This is coming with strong global cues and possibility easing for US attacking Syria. We are holding all long and still advising same. We cannot talk about technical after such wild gap up. Will we cross 5850 in current wave or will it correct before giving decisive crossover.

S&P 500 – A bounce was deserved and it came as expected. I hope you would not have shorted at lower levels. I said to short if 1660 comes but I dropped that idea when it comes. I have updated it on my twitter. Cross over is giving the sensible target of 1680-1684. I can say that bulls are strongest only in USA and so it is not easy to be bearish. Many have shorted in fear of USA attacking Syria.

Will the Nobel peace prize winner and president of USA Mr. Barak Obama really attack Syria? No, they cannot. Have a look on political development. Chances of this attack are easing.

Regards,

Praveen Kumar