You must read previous articles and watch the given chart carefully to
understand this article completely.
Analysis 05 September 2017: -
On 04 September 2017: FII Net Sold – 873.91 INR Crs: DII Net Sold – INR – 49.10 Crs
Happy Teacher’s day to the market. The best for us.
It just turned shy near to 10000 Nifty levels. It was already quoted
yesterday that in spite of great technical signal market were not looking to go
much higher. Rising slopes are not steeper as past as shown in the chart. Technical
signals are not also that firm which is used to be. Few weeks back when Nifty was
at 10100 levels, I have quoted that days of easy rise has gone.
So far, market is showing some respect for the 9900 support levels but
frequent test of this support will go in favour of bears. One must note that
there is a possible formation of H&S pattern on daily chart.
For today’s trading session, Nifty is likely to open at negative note
which may be in line with global indices. For today I am not too optimistic for
the bulls. Yesterday’s move for the test of 9900 was not a good sign to be on
long side anymore. If I am correct then we may expect many such dicey moves in
the days to come.
Top are still expected to come at 10400 but I am not too firm now. I
was bullish from 9000+ and I will take market part wise. Firstly, I am focusing
if this recovery can go around 10000 levels or not. First cross of 10000 was
important but now it is more important to see the second attempt.
I am maintaining my bullish instance from 9000 onwards. Length of the
rally should be from 9000 to 10400 levels. It hardly matters if this magnitude
goes 1400 points exactly or goes as 1300 points or 1600 points. Call was
bullish above 9000 and so far it is pity successful.
I can say that first sign came from sectoral performance. Under
performance goes critical and hence I believe that some money may be pulled
from bluechip index too. Before you think that I am bearish then let me update
– I am firm on my target of 10000 on Nifty. This will just be the meantime
price correction which is an unusual and healthy phenomenon.
Strategy for Nifty September
future – It is not showing any kind of strength at top. Anything below 9930
will not be good sign for trading support. Technical support will be at 9880
kind of levels and that’s also looking critical. We may see the opening for
short trade very time sooner. One can expect stiff resistance moving on higher
side.
BANK NIFTY September future
– I was not confident on this index in recovery and still my views remain same.
If market has to crack then we can expect some substantial impact on this
index. Technical levels of support may be just at 24000 and then at 23800 but
we may not have too many good support in down side. if this index starts
sliding then it can see a possible dip of 1000 points in near future.
