26 February 2015: Nifty Elliott wave analysis: NIFTY key support is at 8730-8725 levels. Below 8725, expect sharp fall. No buying before budget now.

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

For 26 February 2015: -

On 25 February 2015, FII Bought INR 516.06 crs and DII Bought INR 19.70 crs

We have derivative expiry for this month series today. All eyes are on Rail budget too before Union budget coming on Saturday. Somehow, Nifty is not shaping well before budget. It keeps the room to make a move towards any direction. There is no edge either bulls or bears. If I have to give edge based on my senses then I will give edge to bears. One must prepare to see shocking move and volatility.

Do expect steep fall if Nifty breaks 8726 levels and sustain. Technically 8800 to 8850 will act as stiff trading resistance. Steel and selected PSU stocks are looking weak. I believe that Union budget and S&P top will come near to same time. If correction begins in US then we may see deeper cut. I am repeating, if Budget fails to satisfy then we may see a move of 10% fall.

For today’s trading session, one can expect flat to positive opening. Immediate technical support will emerge at 8730 levels. On higher side cross above 8800 may act as stiff trading resistance. Do expect wild moves today. Expiry effect will add more volatility now.

Please visit our ‘intraday updates’ to get further updates or to take good advantage join paid services.

Strategy for Nifty March future – Opening may go around 8820 levels. Technical support will emerge at 8800 and then at 8780. I expect fall to extend if it can sustain below 8780. Note that nothing is impossible in this market. Many times it has given up in just few minutes. Trade less is the key.  

S&P 500 (USA) – It is another day with zero percent move. How long can this continue? Good answer is that as long as market wants. It hit an intraday high near to 2120 levels. I can still repeat that as long as it is above 2100 levels we can hope for 2145. Still, I like to ignore to make a buy on this index.  One should wait for a sell signal on this index. On a long term chart it is near to 2100 levels from past three months.