You must read previous articles and watch the given chart carefully to
understand this article completely.
22 May 2017: -
On 19 May 2017: FII Net Sold – 988.70 INR Crs: DII Net Sold – INR – 349.21 Crs
I have already quoted for the support at 9370. Nifty hit a low around
9390 even in panic. It was great to see that Indian market has shown better
resilience than any other global market. Technical support got a respect and it
is a sign that we have left with steam.
This bounce is giving me great hope for a great move in coming months.
My expectation is for 10000 for Nifty to come near to Diwali time. Even if
correction comes then also it may be more than 5% anytime.
For today’s session, I am expecting market to open on flat to positive
note. US market has closed on good on Friday’s trading session. I am expecting that
Indian market should hit 9500 marks very soon. It may be done in a day or two
or at least by expiry day.
I still quote 9370 as very crucial support. As long as it holds 9370 then
we can expect market to head higher only unless some crucial resistance
emerges. Sectoral performance may go on flip flop mode time to time but overall
buyers are still interested in market price. Pricing looks expensive but it is
still attracting buyers.
Can we expect reversal? Well, if this happens then it will be least
expected. So far, nothing is suggesting for reversal but caution call is always
alive.
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 blue-chip 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 June future
– I am hoping for an encouraging opening for the week. I am expecting that even
after higher opening it should go to hit 9530 levels. Technical support will be
at 9430 and then at 9385. Buying may be intensified if it short covering rise
comes. Well, short covering rise has to come before expiry. So, one should not
opt shorting anytime.
BANK NIFTY June future – It
is still at 22800 levels and hopes are still alive. I am still hoping for this
index to hit 23500. How will it come? Well, it will be a pleasure to see a
short covering based rally. This is very close to happen. Technical support is
at 22700-22500. This index deserves great attention as next big opportunity. There
must be the time when Bank Nifty will outperform Nifty.
