06 September 2016: Nifty Elliott wave analysis: Nifty is likely to knock 8880 levels. Strong caution is advised.

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For 06 September 2016: -

On 02 September 2016: FII Net Bought – INR 231.19 Crs:  DII Net Bought – INR – 134.88 Crs

Nifty has closing at 8800+ levels in the last trading session. I have anticipated for two figures to be claimed as top, one is at 8820 and another can be 8880. SGX Nifty is giving a hint that we may visit levels of 8880 too. So as far as present pattern is concerned, nifty is on strong up trend. This was result of a consolidation pattern which has saved support of 8500.

For today’s trading session I am expecting market to open on strong to very strong note with all expectation of great outcome. Market will see a top formation from extreme of optimism. I am very sure that market will through a shocker to bulls this week. I strongly advise strong caution for overnight long position. I am not interested in participating in long trend. I will add safer instrument on short side via adding put option. Market may punish me to a little before rewarding.

Do not misinterpret. I gave a long term trend as down from more than a year back. Nifty hit 9119 and then I issued for a long term top. Nifty hits a low at 6825 on Budget day this year. After such down side, wave theory had suggested for comparable recovery with three big possibilities for retrenchments, first to come at 50% at 8000, 61.80% at 8250 and 76.40% at 8575.

101%, I retain my view for long term trend down but that does not says that we cannot interprets for short to medium term of recovery. This recovery was bound to come and it is coming to make a wave [B]. Now, just imagine the magnitude of wave [C]. Higher the retrenchment, bigger fall will hit in future. If this wave [B] tries to end up near 9000 then 9119 may not be visible for many years. So, where is my long term target on Nifty? Well, it is in the zone of 6000-5500.

Strategy for Nifty September future – It looks like Nifty Future will open above 8900 levels. Well, then I have no point to suggest to trade on any further long. I will just maintain distance from market as of past few days. If I see weakness then only I can come for trade.  

BANK NIFTY – Slowly it is on the knocking door at 20000 levels. Today may be the day that we will see 20000 on bank Nifty but from here euphoria may end any time and may be at any levels. Technically, we may not have many things left on the table after 20000 levels. If it does not may a top here in few days then we may see brutal extension of this rally. In that case market will go extremely bullish with many unexpected target. I have no trade on this index. 

02 September 2016: Nifty Elliott wave analysis: Once again same view, from a high of 8820 we can see a profit taking up to 8700!!!

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

For 02 September 2016: -

On 01 September 2016: FII Net Sold – INR 301.51 Crs:  DII Net Bought – INR – 308.16 Crs

I have quoted for resistance at 8820 and that works. Nifty has failed on higher end but this is just not enough to say that market gave sell signal on daily chart. Well, but hourly chart has given a sell. I can repeat what I have said yesterday that Nifty can see a profit taking and may come around 8740-8700. I still believe the same. Today is the last trading day of the week.

For today’s trading session I am expecting market to open on soft note. Nifty will face resistance at 8820 levels. In the down side I see the possibility of 8740-8700. It just suggests that market may see a drop of 1% from current levels. Take a note that higher levels are a trap for bulls. Do not prefer to go buy mode at higher levels.

Do not misinterpret. I gave a long term trend as down from more than a year back. Nifty hit 9119 and then I issued for a long term top. Nifty hits a low at 6825 on Budget day this year. After such down side, wave theory had suggested for comparable recovery with three big possibilities for retrenchments, first to come at 50% at 8000, 61.80% at 8250 and 76.40% at 8575.

101%, I retain my view for long term trend down but that does not says that we cannot interprets for short to medium term of recovery. This recovery was bound to come and it is coming to make a wave [B]. Now, just imagine the magnitude of wave [C]. Higher the retrenchment, bigger fall will hit in future. If this wave [B] tries to end up near 9000 then 9119 may not be visible for many years. So, where is my long term target on Nifty? Well, it is in the zone of 6000-5500.

Strategy for Nifty September future – I suggested for a sell signal yesterday at 8835+ levels. It took a fall but those came in just last 40 minutes of trade which I suggested a sell signal in morning minutes. This market was so dull at top. You can expect this kind of moves again. Below 8780, we can see a fall towards 8750-8730. Friday fever may give a sell.

BANK NIFTY – I am looking for a pullback possibility. It can see a profit taking which can drag Bank Nifty towards 19500 levels. It came with a high above 19800 levels and this is what I was anticipating once it is above 19200. It took an attempt to move towards 20000 levels. This may play a hide and seek game near 20000 levels. Do not prefer to trade long at higher levels. 

01 September 2016: Nifty Elliott wave analysis: From 8820, it should be a pullback time with possible target in the range of 8740-8700.

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

For 31 August 2016: -

On 31 August 2016: FII Net Bought – INR 854.19 Crs:  DII Net Bought – INR – 847.70 Crs

Nifty first wave were from 6826 to 7584 and that gave a possible length of 5 waves. Fibonacci retrenchment suggested that rally could extend to 261.8% of first wave and that 261.80% came on dot at 8819 which was yesterday’s high. Well, I am not saying that this is a sell signal but it is definitely a land mark resistance. It deserves a profit taking from this level.

For today’s trading session I am expecting market to open on soft note. Nifty can come around levels of 8750-8700 in the name of profit taking. I am expecting that Nifty should not go much beyond 8820 from now onwards and hence it will be a defined resistance. Indian market is on firm up trend but that doesn’t mean that correction will not come. This fall may be just the part of correction. let us see if this correction comes against the strong momentum.

Do not misinterpret. I gave a long term trend as down from more than a year back. Nifty hit 9119 and then I issued for a long term top. Nifty hits a low at 6825 on Budget day this year. After such down side, wave theory had suggested for comparable recovery with three big possibilities for retrenchments, first to come at 50% at 8000, 61.80% at 8250 and 76.40% at 8575.

101%, I retain my view for long term trend down but that does not says that we cannot interprets for short to medium term of recovery. This recovery was bound to come and it is coming to make a wave [B]. Now, just imagine the magnitude of wave [C]. Higher the retrenchment, bigger fall will hit in future. If this wave [B] tries to end up near 9000 then 9119 may not be visible for many years. So, where is my long term target on Nifty? Well, it is in the zone of 6000-5500.

Strategy for Nifty September future – I was expecting 8840-8860 and we got that range too but there after also we do not see any great sign of profit taking. Market seems to be under consolidation mode although technical signal of a mild profit taking is on and it must get confirmation by today itself. Let us see if it comes or not. Market is running on with high risk-reward ratio.

BANK NIFTY – It came with a high above 19800 levels and this is what I was anticipating once it is above 19200. It took an attempt to move towards 20000 levels. This may play a hide and seek game near 20000 levels. This may start now. Right now I am expecting profit taking but not below 19500. This may be just a small pullback possibility only. nothing much.   

31 August 2016: Nifty Elliott wave analysis: Its WoW rise with all possibility of hitting 8800 levels. Further rise will come with great risk.

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

For 31 August 2016: -

On 30 August 2016: FII Net Bought – INR 390.63 Crs:  DII Net Bought – INR – 485.14 Crs

I was in wait mode for adding short in spite of all weakness. Here comes shocker for bears. Breakout of narrow triangle formation goes on higher side. I am saved but I missed this rise in the name of caution. Well, I will not take out the word of caution. As far as Nifty is above 8700, there is no question of any weakness. In fact, market can shock you at higher side but definitely not at lower supports as supports are too many in frequent intervals.

For today’s trading session I am expecting market to open on flat to negative note but there is no great chance of any weakness. I see higher chance of consolidation on these levels or some more rises. I have anticipated earlier as 8880 as August month target which seems to be in action.  I have quoted earlier also that support for Nifty to come at 8540. Let us see how it will shape up today.

Do not misinterpret. I gave a long term trend as down from more than a year back. Nifty hit 9119 and then I issued for a long term top. Nifty hits a low at 6825 on Budget day this year. After such down side, wave theory had suggested for comparable recovery with three big possibilities for retrenchments, first to come at 50% at 8000, 61.80% at 8250 and 76.40% at 8575.

101%, I retain my view for long term trend down but that does not says that we cannot interprets for short to medium term of recovery. This recovery was bound to come and it is coming to make a wave [B]. Now, just imagine the magnitude of wave [C]. Higher the retrenchment, bigger fall will hit in future. If this wave [B] tries to end up near 9000 then 9119 may not be visible for many years. So, where is my long term target on Nifty? Well, it is in the zone of 6000-5500.

Strategy for Nifty September future – So, triangle has played its role again. When it was looking for dip it took U turned and washed all shorts. I am not short on Nifty yet and I may have a plan to give from all such odd trades. Market may have chance to move higher again. It may looks to hit 8840-8860 levels too. I am strong on my call that rise may be very risky from current levels. If market can shock bears then it can shock bulls too.

BANK NIFTY – It has saved 19200 and moved towards 19500 levels. Technically above 19600 we can expect a move towards 20000 levels. Will it happen in reality or will it miss by smaller margin. Technically, call for rise is still applicable although this index is not convincing me to much extent. Those who can afford risk can trade long on this index.