You must read previous articles and watch the given chart carefully to
understand this article completely.
08 March 2017: -
On 07 March 2017: FII Net Bought – 920.46 INR Crs: DII Net Sold – INR – 1073.75 Crs
It has missed 9000 marks on Nifty again yesterday. Technically, this
may result a profit taking. I have already expressed my concern that it might
not be easier to cross above 9000 mark. It looks like we may see another
pullback from 9000 marks. It may come today or tomorrow. Index is not giving
any great pleasure to trade hence I am strongly avoiding index to trade.
Reliance may play an important role now. Indian market has history of
topping out with rise in Reliance. Well, I must say that Reliance is 101% not a
buy here. One can expect some profit taking on it.
For today’s trading I am expecting Nifty to open on flat to negative
note. Once again we may hope that it may try to test levels near 9000 but I am
not very confident now that it takes a test. Rather it may give up at higher
levels to invite profit taking. Somehow market is unable to get fresh strong
buyer at current levels. It looks like market will renegotiate with bulls.
A new all-time is required. 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
– Will it test 9000? Well, it is not easy to answer. It seems that it does not.
Technically, it may face resistance at 9000-9020. Now, if it does not make then
it may react at higher levels with negative view. It may see a fall from higher
levels in the name of pullback or profit taking.
BANK NIFTY March future – On
the hope of 21000, it looks like Bank Nifty is also getting tired. If it does
not react at these levels immediately then it may run short of time. This may
result some pullback on Bank Nifty. Hence, it is not a time based trading buy
right now. One should prefer to avoid long unless some real strength emerges.
