You must read previous articles and watch the given chart carefully to
understand this article completely.
03 March 2017: -
On 02 March 2017: FII Net Bought – 122.94 INR Crs: DII Net Sold – INR – 83.21 Crs
What was yesterday’s high? It was at 8992. It has missed 9000 marks
once again and undergoes in profit taking mode. It has closed just below 8900
levels. This is suggesting me that market may not be in the mood to cross above
9000 so sooner. Yesterday was most perfect day for crossing 9000 but it missed.
Well, today is Friday after a profit taking day? I am curious to see
today’s outcome. We had two short signals on hourly chart. One generated at
8925 and other at 8980 on Nifty March Future. I am expecting a test of 8800 on
Nifty spot right now. After that it will be decisive.
For today’s trading I am expecting Nifty to open on negative note. Reason
is simple and that is the fall on DJIA. After a negative start it may have a
chance of hitting 8800. On higher side it will face resistance at 8940 and on
8992. Time is on and now bulls must go on big caution mode. Do not expect that
market will issue any notice before falling.
If that happens then it will be confirmation of next big rally in
Indian market which can extend rest of the year without any threat of big price
correction. In normal circumstances this kind of levels demands extreme caution
to deal. Remember, may global indices have traded well above their previous all-time
high with breakout.
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 March future
– SGX Nifty is giving a sign of negative start and this is perhaps happening
after a real long time. Technical support is at 8880 which may be opening quote.
If it sustain below 8880-8870 then we can expect a fall towards 8820-8800
levels. Today’s trade may be decisive for trend extension or trend reversal.
BANK NIFTY March future – Well,
it is not comfortable near 21000 anytime. It is suggesting that buyers will
wait for lower levels. I am expecting two decisive supports in down side; one
is at 20300 and next is at 20000. It may prefer to test at least one lower level
before going on make or break mode. On higher side it will face resistance at
20900-21000 levels.
