You must read previous articles and watch the given chart carefully to
understand this article completely.
27 January 2017: -
On 25 January 2017: FII Net Bought – 1378.81 INR Crs: DII Net Bought – INR – 383.03 Crs
We are inching close to budget day and market is building its
expectation. It is moving forward with great momentum and breaking all possible
resistances. Should we change the view which I build up in past year based on
Elliott wave chart? I can say that this kind of phase of euphoric optimism may
not able to change the view.
I know that this market can move on higher side but budget day will definitely
be a shocker. In true sense market has already overdone. Although I am
expecting that it can hit 8740 in this process.
For today’s trading also I am expecting another gap up opening. Technical
resistances are too far to deal hence it may be another full day up move. It has
bright possibility of hitting 8740 before budget. I am not participating in
index rise this time as fall will not come with warning sign. On do not need
technical support but you can expect a firm support at 8550 kind of levels.
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 February
future – I have projected for 8600+ levels. Well, it is now looking for a
move above 8740. It can be a gap opening. Back to back gap up and up does not
allow us to trade with any good comfort. One has to gather good courage to
trade long. Shorting will not be any option as of now.
BANK NIFTY February future –
If market has to move forward then we can expect targets like 20000 on February
month future. Technical support is expected to be on 19300. As long as it holds
19300 targets of 20000 will remain open. There is no scope of shorting as of
now, does not matter what kind of signal comes in intraday session.
