You must read previous articles and watch the given chart carefully to
understand this article completely.
11 April 2017: -
On 10 April 2017: FII Net Sold – 262.37 INR Crs: DII Net Bought – INR – 414.94 Crs
Fine, I was expecting another dead session and we got this. Now for
today’s trading session we have a technical support which is at 9140 to 9120.
If this levels breaks then it will break the demand line on daily chart.
How crucial is going to be this? Well, I cannot see big sign of threat
but surely, one may not get good on long side either. So, it can either be no
trade or wait for opportunity to be on short side. I have quoted yesterday that
if nifty stand above 9200 then shorting must be avoided. It failed to manage to
stay above 9200. So, I am on my decided rule.
For today’s session, I am expecting market to open on negative note. If
it sustains below 9200 then it has higher chances of moving towards 9140-9120
levels. I must say that trend will be named as up as long as it is above 9000
but that’s not a trading view. A bull cross over point is another new all-time
high. It seems that condition to be up –is – formation of newer high on
frequent basis the way DJIA has done in past.
Caution note is clear – first one has to watch for weakness on small
cap and mid cap indices. Before top, there may be the days where mid cap and
small cap indices will be negative and bluechip index will maintain flat to
positive note. I will look on small cap and mid cap index to compare relative
under performance.
Strategy for Nifty April future
– Nifty April future looks to open around 9200 levels or may be below. At one sense
it is going to be a decisive weak opening. Technically, I prefer to be on short
side if it maintains levels below 9200 for sometime. May be today can be the
day where we can expect levels of 50-60 points on downside. Well, take a note
that for this to happen, trading range must be broader than past few days. Let us
see.
BANK NIFTY April future – Not
need to chance analysis. Levels and view remains same. BANK NIFTY should not be
touched now as long as it is trading below 21700 levels. Chances are higher
that I will not prefer to trade index. It has crucial threshold at 21000 levels
which is still nearly 2% away. It is suggesting that market is trading with
unfavourable risk – reward ratio. Can it sustain up? I doubt.
