31 May 2018: Nifty Elliott wave analysis: Expect volatile expiry with few odd swings. Do not prefer to trade.

You must read previous articles and watch the given chart carefully to understand this article completely.

Analysis 31 May 2018: -

On 30 May 2018: FII Net Sold – 1286.91 INR Crs:  DII Net Bought – INR – 492.36 Crs

Well, we are on derivative expiry day. Has the month done too much? My answer is “no”. This was not traditionally known May month. Looking in to past two days of trade I feel that only hallmark for the day is going to be volatility. It can be on both sides, up and down. I am expecting trading range to be

Momentum technical indicators are looking to be little in favour of rise but I ignore all such signal for expiry day. I just avoid trading on expiry day due to unwanted swings.

For today’s trading session, I am expecting a positive kick off trade for the market. This may be just boosted by big rise in US market. It is going to be interesting to see how long it is going to shape up after one hour. Technical support will be at 10580 to 10570 levels. On higher side 10690-10710 will be trading resistance.

Avoid any kind of investment as market is still looking expensive.

Strategy for Nifty May future – SGX Nifty is showing for the start at 10650 levels. This is something where I just prefer to avoid fresh trade. It can take either way; it has possibility for 10700 levels as well as 10600 levels. It is just at mid points. Risk reward ratio is just 50-50 so expiry day may not be greatly in favour of trade. Although it seems that biasing is towards rise.

BANK NIFTY May future – Bank Nifty is still not looking comfortable. It has not shown the same strength as of Nifty. Technical support for Bank Nifty will be at 26100 levels. On higher side 26400 levels are going to be decisive. Let us see how it will react on 26400+ levels. If it can sustain above 26400 then we can see fresh addition of rise. I just think that even if strength comes then also it will not have great life.