20 February 2015: Nifty Elliott wave analysis: Optimism is a key driver. One can expect 9000 levels on Nifty anytime if Nifty can spend time above 8930 levels.

You must read previous articles and watch the given chart carefully to understand this article completely.

For 20 February 2015: -

On 19 February 2015, FII Bought INR 1542.70 crs and DII Sold INR 195.74 crs

Even 100 points of dip were bought by market yesterday. This is what optimism can do. I have already said that 8800 to 8750 will offer good trading support. Today is eighth trading session from the low of 8470 levels. We have not seen any kind of signal as big threat of fall yet.  

Pure technical charts are suggesting that we can expect 9000 before budget. After that it can try to hit 9200 if Budget gets respect by market. If not, then we can expect a very sharp selloff. Remember, we have seen massive rally on hopes only. Now, time has come for the current government to deliver. What if market does not like budget? Well, in that case market may correct as big as 10%. Market wants to shape up well to digest all possible outcomes. I must add that Nifty may try to hit 9000 to 9200 markets before union budget if global cues remain supportive.

For today’s trading session, one can expect flat to positive opening. Immediate technical support will emerge at 8880-8850 levels. On higher side cross above 8940 may push Nifty towards 9000 levels by today itself. One should expect buying in budget based optimistic stocks.

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Strategy for Nifty February future – Opening may go around 8930-8940+ levels. A next key level to watch for is at 8960. We can expect a sharp rise if it can surpass 8960 levels. Downside technical support will emerge at 8890 levels. I will avoid deals if it sustain below 8880 by any chance.

S&P 500 (USA) – It is dead for third day near 2100 levels. Last night, it has closed with small negative. I still say 2100 levels should be decisive if manages to close above this levels. It is not going to be easy. Clear crossover of 2100 will give a target of 2145. Failure at 2100 will confirm for another short term top near at 2100 levels. Today is last trading session of week. Let us see.