31 August 2017: Nifty Elliott wave analysis: Expiry may not be interesting in term of range but will be directive for next week. Resistance = 9925-9950

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

Analysis 31 August 2017: -

On 30 August 2017: FII Net Sold – 12.46 INR Crs:  DII Net Bought – INR – 290.78 Crs

We have derivative expiry today. I have already quoted that it will be difficult for Nifty to break the trading range of 9800-9900. So far, extreme points go from 9925 to 9750 but mostly remain in range. My views for market remain same. This is undergoing in the formation of right shoulder.

It has n-line support in the range of 9800-9750 and this is saving market. There is a fair chance that it can sustain these supports for some more days before making the decisive direction. One can opt swing trading support.

For today’s trading session, Nifty is likely to open at flat note. Will this do anything much? I think and assume that it is going to be dull and waste kind of expiry. If market under the effect of expiry then, it will make the move dicey and unpredictable. One can expect trading support at 9840-9800 levels which moving on higher side it may get an extreme point 9925-9949 kind of levels.

I prefer to be on side line on expiry day. Direction may favour bears but from higher end. I am definitely looking for scope to enter in to index trading position but there is hardly any scope. Sooner or later a fall may begin.

Top are still expected to come at 10400 but I am not too firm now. I was bullish from 9000+ and I will take market part wise. Firstly, I am focusing if this recovery can go around 10000 levels or not. First cross of 10000 was important but now it is more important to see the second attempt.

I am maintaining my bullish instance from 9000 onwards. Length of the rally should be from 9000 to 10400 levels. It hardly matters if this magnitude goes 1400 points exactly or goes as 1300 points or 1600 points. Call was bullish above 9000 and so far it is pity successful.

I can say that first sign came from sectoral performance. Under performance goes critical and hence I believe that some money may be pulled from bluechip index too. Before you think that I am bearish then let me update – I am firm on my target of 10000 on Nifty. This will just be the meantime price correction which is an unusual and healthy phenomenon.

Strategy for Nifty September future – It is likely to open above 9910-levels. It has resistance at 9950 levels. The key point is that market is going to be dicey and bearish at any point of time. To be fair, I may avoid market on expiry day but we may see scope for entry on short side. this is going to be interesting for next week of trades.

BANK NIFTY September future – There is no great chance. It is currently trading at 24400 levels. Now, it is expected to take a support at 24200 on closing basis. If it has to get up move then also it will face resistance at 24700 zones. Well, I strongly expect a stiff resistance at 24700 zones. I will prefer long trade on this index only if this can surpass this levels.