You must
read previous articles and watch the given chart carefully to understand this
article completely.
For 30
April 2013: -
On 29 April
2013, FII bought INR 620.38 crs and DII sold INR 366.20 crs.
I have
already added for the importance of 5869 to 5860 range. It hit a low at 5868
and then bounced. This bounce came as a result reaction by HINDUNILVR. Well,
whatever was the reason but finally closing was above 5900. I will stick with
my logic of May month sell – off although we haven’t got any sign yet. My view
is that we will get some kind of signs on technical charts very soon. Easy thing
to conclude is that we can expect those beginning of May month selling once it
breaks the support of 5869-5860 ranges.
We have
seen renewed strength in US and Euro zone market in past few days which has
extended their gain last night. US indices have almost coming near to their
all-time high again. Now a day, expecting selling in USA is very tough words.
We got negative divergence from 5828 on hourly chart. Technical
charts are suggesting that a new down trend is about to start now. I have
already quoted earlier also for 5869 as crucial levels. Once it starts trading
below 5869-5860 levels we will immediately see levels of 5829 to 5800. One
should note that today is 13th day form the bottom of 5477 levels. This
rise almost remains uncorrected on daily chart.
Maximum it
can try to save one more day before falling. Let us see how close we are from a
bigger selling. Market must be focusing on upcoming monetary policy by RBI.
Strategy
for Nifty May future – I cannot say that I
got a perfect day to say for trend reversal. I am still feeling that Fibonacci series
suggesting for price correction. So far, market is looking to make a higher
start. After a positive start, it will fill the higher gap then I will look for
some fall towards 5880 levels. Momentum might try to give 5980 levels but those
are not so easy to feel and talk about. World need to change to bet anything
bigger.
S&P
500
– I said as long as it sustain below 1598, I will expect a fall but right now
everything is missing to expect a correction. It has denied technical formation
again and moved higher. Somehow I am feeling for May month selling but exact trading
signal has yet to come. First requirement is that it needs to break 1583
support. In the best case of strength it can give 1610 on the crossover of
1598. It is just uni-directional from last five months of trades. Hope to get
something tonight too!!!
Regards,
Praveen
Kumar
