You must
read previous articles and watch the given chart carefully to understand this
article completely.
For 01
October 2013: -
On 30
September 2013, FII Sold INR 519.64 crs and DII Bought INR 89.76 crs
There are
few positive in recent dip. Indian rupee is almost stable even after 400 points
of fall in Nifty. I cannot see any big reason for big sell off unless rupee
depreciates to a big way. Yesterday’s CAD data was little better than expected.
It came at USD 21.80 billion. Although, we may see more troubles in next
quarterly CAD data.
This is
something which market might have discounted. As market was discounting most
such negative with gap down so I was not adding short near 5750 levels. We saw
a low 5718 yesterday which may become weekly low as of now.
Technical charts
are suggesting that supports may emerge sooner. We have already seen more than
38% correction against recent more than 1000 points of rally in Nifty. I believe
that 5700 should not be taken out by market sooner or easier. It is still too
early to say. We just need one positive close to say that we can be away from
fall. One more rise should come before any bigger sell off. I am sensing an
October rally.
Visit
again to read my intraday updates as I can update about those only during
market hours.
Strategy
for Nifty October future – Nifty future is
likely open with some higher gap. I have quoted earlier also that premium
should go down. Yesterday’s low of 5774 may act as good trading support as long
as it holds. On higher side 5840 will be a threshold points for bulls. If it manages
to sustain above 5840 then we can expect a move towards 5900 levels.
S&P
500
– As expected it came near to 1670 but it has saved as low was at 1675. I will
say in the same way as of Nifty. We need one positive close to say that we are
going to see higher levels. It has broken 1690 support and then we saw
yesterday’s dip. I cannot see any reason for shorting after gap down. Let us
see if rise is coming or not.
Regards,
Praveen
Kumar
