You must
read previous articles and watch the given chart carefully to understand this
article completely.
For 10
December 2013: -
On 09
December 2013, FII Bought INR 2473.17 crs and DII Sold INR 1205.81 crs
So
finally, Indian market also hit a new life time high in the year 2013. I did
not see any great energy in the market. In fact, closing almost goes near low
point of the day. It is happening very frequently. Market opening higher and
closing goes to day’s low, although day to day basis it is going higher. This kind
of pattern is not good for any rising or bull market.
FII has
bought this market heavily yesterday. Their investment goes over 1 lakh crs in
the year 2013.
Technical resistance
will be only at 6415 which is life time high so far. We are close to this level.
Now, one negative close will signal the sign of profit taking. I strongly
believe that profit taking can hit by today itself. Today is 13th
day after hitting 5972 levels. If Nifty spot goes below 6340 then we will get
first sign of possible profit taking.
Front line
stocks are looking fairly valued at this price and mid cap stocks are not on
better interest so far. Let us see how market is going to respond before fed
meeting next week.
Visit again
to read my intraday updates as I can update about those only during market
hours.
Strategy
for Nifty December future – NIFTY future is signaling
for higher start as indicated by SGX NIFTY. Remember, yesterday’s opening
trades fail to open parallel to SGX. In fact it was way lower. This might be
due to DII selling or over optimism by global market. We may get same thing
today. It may not be as strong as shown by SGX which is 30-35 points higher.
Technical resistance is at 6420-6425 levels. Break below 6370 confirm a
possible dip.
S&P
500
(USA) – I still believe that 1813 is
going to be a challenging resistance. If it manages to surpass 1813 then one
need to accept for the newer target of 1854 for the month of December. The
rally which has started in the month of January has still some leg but it must
be near to stop now. Let us see what is coming. I will prefer to trade long
only above 1813 and that’s also if trades sustain for some time above 1813. Fed
minutes will be on trader’s radar which will come on 17-18 December 2013.
Regards,
Praveen
Kumar
