You must read previous articles and watch the given chart
carefully to understand this article completely.
For 28 July 2014: -
On 25 July 2014, FII Bought INR 125.51 crs and DII Sold INR
210.02 crs
For Friday’s trading session, I have quoted for resistance at
7860 (hitting this level was not a compulsion) and support at 7750 levels. It
has followed the road map and hit a high 7841 and then slipped to hit a low of
7749 before closing at 7790 levels. Major disappointment is that Elliott wave
pattern is now looking for consolidating move on daily chart rather than
trending chart as shown in the figure given.
When Nifty hit a fresh all-time high then this kind of sell
off was not expected in follow up session. As it came so one has to be very
cautious for this week as its derivative expiry week with one holiday tomorrow.
Elliott wave pattern is giving short term support at 7393 levels which is too
far right now. Extremely short term support is also at 7660 levels. Only
pleasant thing is that it has trading support at 7750 which was tested Friday
and closed with a bounce. Current situation is not broadly in favour bulls. In
fact, to a big extent it may favour bears only.
If 7841 is turning as a top then we may expect this expiry
near or below 7660 levels. Take a note that even US goes under sell off. Major
concern of this sell off is that it came after mid cap under performance and it
happened everywhere in the world. Crucial 20 DMA support for Nifty is at 7675
levels. Things are giving room of 100-150 points dip anytime now.
For today’s session, opening may be nervous and if it sustain
below 7810 then expect another move towards 7750 levels. Break below 7750 will invite
few quick unwinding. Only above 7810 one can expect some stability in market.
Please visit our ‘intraday updates’ to get further updates or
to take good advantage join paid services.
Strategy for Nifty July
future – Nifty July
future is giving a hint for flat opening. Immediate trading resistance is the
zone of 7810 to 7825 levels. 7750 will act as crucial trading support. I still
believe that one can trade short on rise. Well, first half may act as choppy
move but decisive movement may come in second half only. Keep an eye on 7750,
if it breaks then it can see quick dip.
S&P 500 (USA) – It’s a dip which came immediately
after new all-time high just like our market. Technical charts are suggesting for
a move towards 1950 again. Once it closes below 1950 then we can say that top
has confirmed. Even for this week I will expect test of 1956 -1950 levels. I suggest for short on any pullback towards
198X, 199X and 200X.
