You must read previous articles and watch the given chart carefully to
understand this article completely.
02 January 2017: -
On 30 December 2016: FII Net Sold – 585.64 INR Crs: DII Net Bought – INR – 725.26 Crs
Welcome to the New Year and wishing all of you a very happy New Year.
Most global market has closed today. This may be prime reason that I am
not expecting market to move in broader range. Technical charts may be looking
for up and I am expecting that market will remain up but trading range may not
be broad. Charts are suggesting that we can expect resistance above 8250
levels. Big question is that can we expect 8250. Well, if it has to test 8250
then it should deliver today only. In the absence of follow up buying market
will fall again. Note that we are going to be in earning season next week.
For today’s trading I am expecting that market will open on dull note.
Technical support is at 8150 and on higher side we need a kick start above 8200
levels. If this happens then I can expect a fresh up wave today. I am issue a
sign of warning. It has high chance to make a weekly today or may be at 8250 –
8280 kind of levels. In the lower side if it breaks 8150 then we have no point
to be on long side.
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 January
future – Once again I do not want to be bearish. Technical support will
emerge at 8150 levels. As long as it above 8150 we have chance to be on higher
side. Technical resistance is at 8210. Can it able to surpass above 8120? If this
happens then we can expect a fresh rise of 60-80 points. Let us see what comes.
Higher chance for a up trade or choppy trade with upside. Do not trade if range
is limited.
BANK NIFTY – I am still
saying at 18300 is a decisive resistance. On higher side it will have potential
to hit 18300. Let us see if this can hit this level or not. In the lower side support
can emerge only at 18000 levels. Can we expect a good move? If it has to come
then it should come for rise only although this rise will not sustain for
taking positional long.
