You must read previous articles and watch the given chart carefully to
understand this article completely.
For 10 October 2016: -
On 07 October 2016: FII Net Bought – INR 56.25 Crs: DII Net Bought – INR – 726.80 Crs
Nifty hang near 8700 and this makes market dull. I must say that as
market is on long holiday, it may not move much. We have Holiday today and
tomorrow also hence participation will be less in the market. I strongly suggest
that one should not trade in this kind of market.
Elliott wave signal will be as it is. It will react only after when
market reopens on Thursday. My prime call is that market will fall once market
comes in full trade mode.
ELLIOTT wave based target may be in the range of 8200-8000 levels. This
will be applicable sooner.
For today’s trading session I am expecting market to open on flat
note. After that market will remains in range. My expected range for market
will be 30-40 points only. Technical support is at 8650-8670 and on higher side
it will face resistance at 8740. Well, it is just a technical view although market
will not move even that much.
Do not misinterpret. I gave a long term trend as down from more than a
year back. Nifty hit 9119 and then I issued for a long term top. Nifty hits a
low at 6825 on Budget day this year. After such down side, wave theory had
suggested for comparable recovery with three big possibilities for
retrenchments, first to come at 50% at 8000, 61.80% at 8250 and 76.40% at 8575.
101%, I retain my view for long term trend down but that does not says
that we cannot interprets for short to medium term of recovery. This recovery
was bound to come and it is coming to make a wave [B]. Now, just imagine the
magnitude of wave [C]. Higher the retrenchment, bigger fall will hit in future.
If this wave [B] tries to end up near 9000 then 9119 may not be visible for
many years. So, where is my long term target on Nifty? Well, it is in the zone
of 6000-5500.
Strategy for Nifty October
future – I am off to my short trades and now I am sitting silent. Technical
charts may support for trade but I am not trading due to holidays hitting
market. I am expecting market to remain in a range. Support to come 8700 and
resistance will come at 8770. I may not opt to trade.
BANK NIFTY – As said for
Nifty, Bank Nifty will also remain in a range. Technical support will be at 19200.
Whatever bounce is coming due to choppy session will not sustain for long time.
Elliott wave based target may go very lower from present levels. It is advisable
to be very cautious if one is trading long. Time based odd bounce may be odd
buy.
