30 May 2018: Nifty Elliott wave analysis: What a reaction at the resistance of 10710-10720 levels!!! Expect fresh dip today and tomorrow.
You must read previous articles and watch the given chart carefully to
understand this article completely.
Analysis 30 May 2018: -
On 29 May 2018: FII Net Sold – 407.33 INR Crs: DII Net Bought – INR – 578.38 Crs
Market shaped itself very well as projected by technical studies. It saw
a bounce and then a dip. Now technical charts are suggesting fir the retest of
support of 11440 and that is well 200 points from current levels. We are just a
day away from derivative expiry of this month contract.
I already gave a word of caution from higher levels. If one has added
short near the resistance which emerged later as top then they can prefer to
hold short trades with proper stop loss till expiry. I can see a violent expiry
this time.
For today’s trading session, I am expecting a lower as indicated by
SGX Nifty. It may open near 10550 levels. We can expect two important trading
support, one is at 10500 and then at 10440 levels. After opening, Nifty will
face resistance at 10610 to 10640 levels. Do not opt trading long for today and
tomorrow. One can focus on banking stock for trading opportunities.
Avoid any kind of investment as market is still looking expensive.
Strategy for Nifty May future
– My suggest was for caution at top and words came true. Although I was not
expecting such a sharp fall immediately. I can say that market has done
something yesterday which I was expecting for today. Gap down is another
spoiler. If one haven’t short from yesterday then one cannot initiate trade
today.
BANK NIFTY May future – Bank
Nifty looks alarming. If this starts falling then one can expect this to rest
only at 25800 levels. There are no levels safer at higher side. Suppose if it
opens at 26000 levels then risk reward will be much higher. Let us see where
will it open and how much can it fall.
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