You must read previous articles and watch the given chart carefully to
understand this article completely.
29 November 2016: -
On 28 November 2016: FII Net Sold – INR 1436.40 Crs: DII Net Bought – INR – 1233.79 Crs
I am avoiding this level to be active. We are near to 200 DMA which is
at 8156. If we have to see reactions on market again then it can come anytime
sooner here. In my view market will not have big reasons to move up further. I want
to decisive for next course of action. An up from here or a down from here will
be taken keeping a view for upcoming monetary policy review. I am expecting
only choppy moves here which may not be suitable to trade. There is no
substantial sell even though we are on resistance.
For today’s trading I am expecting a flattish start. Market may not do
much at these levels. It is advisable not to trade unnecessarily in choppy
zones. We may not able to see good range on index to trade index although some
stocks may be very active. Technical support is at 8070-8050 as of now. On higher
side 8160 is the levels which like to watch.
This remains part of my article. We may be under bear market till 31st
March 2017 and what I am talking is a pullback of bear market on medium term
wave count. Someone asked me if global market is up how can Indian market be
down? Well, that’s the way and that’s what Elliott wave has convinced me.
I am just writing my view and I am least interested in learning or
sharing so please do not make sure request.
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 December
future – Near to 200 DMA I do not want to be active without any significant
signal to trade. Technical resistance is expected to emerge at 8180-8200 levels
only. In down side we can expect support to come at 8080. Unless it stays below
8080 there cannot be sell. I am expecting some more choppy sessions before
monetary policy review.
BANK NIFTY – I can repeat
that resistance is at 18700 only we are too far from that level. Hence, it is
time to just watch. I am not in favour of taking trades at this levels which is
not giving me certain buy or sell yet. We may not see much action in coming few
days. Do not touch this index to trade. If there is a trade then it can be just
long side from lower levels. Big question is what can be that lower levels.
