16 January 2014: Nifty Elliott wave analysis: As we got crossover of 6300 so we may see levels of 6360 or nearer now. Crossover of 6360 will be decisive to bet for new all-time high.
You must
read previous articles and watch the given chart carefully to understand this
article completely.
On 15
January 2014, FII Bought INR 713.29 crs and DII Sold INR 690.02 crs
US market
goes to make another fresh all-time high and hence global cue remains
supportive. We got WPI at 6.16% yesterday which gave a hope for perhaps rate
cut in coming monetary policy review. If not rate cut then also there will be
no reason for rate hike either.
Given technical
charts are suggesting that we are on critical levels. Trend line joining the
top at 6415 and 6358 is coming at current levels. It is clear that crossover of
this trend line will give more rise for Nifty. It is looking like 6358 is
within reach for Nifty which will be decisive for further rise. If profit
taking has to come then it will come before 6360.
Mid cap
and small cap indices has under- performed Nifty yesterday too. This is little
concerning factor. We have many crucial results today. TCS, Axis Bank and Bajaj
Auto will present their number.
Trading range
is narrow on broader perspective from past few months. I always say that 6300 +
levels has a history to trap bulls in Indian market. hence do not take anything
guaranteed and be cautious. Comes out of the long trades if mid cap and small
cap indices start closing in red.
Strategy
for Nifty January future – As it is above
6310 levels then we have reasons to believe for 6360 levels to come. If it has
to come then it must by today only. 6360 to 6370 will be caution levels.
Downside support shifted only at 6290-6280 levels. This 60-70 points may be the
range for the day. are we heading for new all-time high? Yes, we may be. If we
stay above 6360 then we are definitely heading for new all-time high. Will it
sustain or not? That’s a different question.
S&P
500
(USA) – Finally, another new life
time high came for S&P 500 came. Technical charts are saying for decisive
action at 1854. Crossover above 1854 will give 1880-1888 levels by this month
itself. I cannot see any trouble as long as S&P 500 is above 1840. We are
likely to see a cross over of 1854 by today itself. stay long and enjoy the
rise.
Regards,
Praveen
Kumar
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