You must read previous articles and watch the given chart carefully to
understand this article completely.
Analysis 29 May 2018: -
On 28 May 2018: FII Net Sold – 795.06 INR Crs: DII Net Bought – INR – 1017.65 Crs
I am not negative yet on market after a bounce of almost 300 points from
the bottom. So far so good and bounce gave hope to the traders. To me the
charting points are very important. As of now, 10710 are going to act as
crucial resistance. If it can able to stand tall above 10710 then we can expect
10780-10800 levels. Although I believe that
bounce may not sustain if it fails at 10710 levels.
Good part of the trade is that we will get clarity by a day or two. Hence
I wrote the word “caution”. A dip of nervousness may be at this point which can
pull the market down.
For today’s trading session, I am expecting a lower opening which may
not be too bad. After opening we can expect support at 10600 levels. I am not
saying yes or no for long trade. One must watch the momentum and support. If Nifty
tend to take support at 10600 or before then only I can think to trade long for
intraday else I may pass the day for clarity on chart. Is it making at 10710 resistances
or giving up? That’s the question.
Avoid any kind of investment as market is still looking expensive.
Strategy for Nifty May future
– Nifty future to about to open at 10670 levels. This is not going to be bad
opening but it just reacting at resistance at 10710 levels. Meaningful support is
only at 10600 levels that are can make market volatile in case of fall. So, my
preference is to buy in dip with stop loss just below 10600. Well, as I said I may
ignore the day for trade for better clarity in trades. Buy call is just my
view.
BANK NIFTY May future – Bank
Nifty goes better than Nifty and that’s what I was expecting in bounce. In fact,
banking stocks provided good trading support. Now, it is hits a high at 26675 and
so it is extremely over bought in trading chart. I can expect some price
correction but wait. This is not a call to trade short. If one wants to trade
short then one must wait for the day. Today, we can see bounce from low. Hence,
I am not on trade for the day.
