03 July 2018: Nifty Elliott wave analysis: Technical resistance is at 10700-10720 levels. Strength is not expected easily.

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

Analysis for 03 July 2018: -

On 29 June 2018: FII Net Sold – 157.15 INR Crs:  DII Net Bought – INR – 2262.83 Crs

Well, market goes below the crucial support of 10700 levels and hence shown weakness from expiry day itself. Normally, reverse H&S pattern used to take time to perform. Suppose if it fails then it shows the degree of resistance at N-line. On that basis, charts have developed two resistances, one is at 10700 and other is at 10860 levels.

10680 have already played an important role. It used to give some shocker fall below that level. Do we have chance to see 10400 levels? If such question is coming in mind then it may be the possibility.

For today’s trading session, market is expected to on soft note and afterward market trend will be decided by follow up trades. Chances are higher for fall. Market is expected to face resistance at 10700 + levels. Technical will be at 1600 to 10580 levels. Sooner, we may have warning sign too remember, reverse H&S will be effective only above 10860 levels.

Avoid this rise for any investment as market may be in a possible situation of big time divergence.

Strategy for Nifty July future – Nifty July SGX future is trading at 10650 which are showing stability after fall but the threat is not over yet. As long as it is trading below 10710-10720 levels it can again take a downward turn. If I have preferred to trade then I may opt shorting at resistance levels. If it closed below 10580 then we may have first signal for 10400

BANK NIFTY July future – Close to 26200 levels Bank Nifty future may try to show some strength but this strength may overcome by weakness on blue-chip index. It looks like it is going to take support at 26000 and then at 25800 levels. If hope is bank nifty then threat is also bank nifty.