You must read previous articles and watch the given chart carefully to
understand this article completely.
17 January 2017: -
On 16 January 2017: FII Net Sold – 347.25 INR Crs: DII Net Bought – INR – 203.45 Crs
It’s Bank Nifty which is giving a good to real good thrust to the
market. It is more like a pre-budget rally kind of thing which market is
enjoying. If market is enjoying a pre-budget rally then I must add that market
should not hope much from budget. This budget is coming just before elections
in many states and hence it has every chance to become a populist budget.
For today’s trading I am expecting resistance in the zone of 8428-8435
levels. This is decisive. Will it cross or will it fail. It should fail and it
deserves a correction. Well, it is my anticipation and we still running short
of trading signal correction. I can expect a trading signal of short if Nifty
goes below 8360 levels. Well, now a day it is too big to say about 50 points
fall. Yesterday’s low was 8375 only.
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 – I have quoted support of 8380-8370 yesterday and I was expecting
the break of this support. It goes reverse and went up. So far, I am wrong on
my correction call. For today, resistance is at 8460-8470 levels. I am expecting
a desperate correction. My strong view it that it must come and it must come
now.
BANK NIFTY January future –
Bank Nifty is shocking me a lot with its rise. It went above 19000 with ease. Technical
resistance will emerge at 19180-19200. There is no meaningful correction from
past 1000 points of rise. Will it correct today? Let us see. It is not very
easy to expect correction in the market which runs on optimism.
