If Bank Nifty sustain below 35300-35200 then it will be very first sign of weakness from higher levels. If this goes decisive and in favour of fall then we can see some good action. Warning, Do not short without break of levels on decisive way.
Tuesday, 1 June 2021
NIFTY 01 JUNE 2021 : Nifty @ new all time high. Technical views remains bullish unless we get a negative close.
Good Morning friends,
Fueled by multiple factors, Nifty breaks its previous alltime high and run continues even yesterday. Its a daily market analysis but I am presenting a weekly chart to show you long term picture. Almost everything is clear from above chart which is showing the importance of 15550 resistance mark. Fine, Nifty close above that but caution requires at these kind of levels.
Readers take a caution - I am not saying that this market gave me short signal. No, not at all. We have not even got single negative close above previous alltime high. I am just advising caution. Trade long with lighter volume.
Hourly charts gives us a reason why we cannot be bearish. Have a look, result of every consolidation is a rise. Unless the result of single consolidation goes in favour of bears, market remains us. Let us see today's opening and I will see price at 11 am to trade.
Disclosure - I have very small quantity put long on Nifty from yesterday's last minutes.
Monday, 31 May 2021
NIFTY 31 MAY 2021 : Chances are that divergence may play today, caution required. Nifty may fail @ new all time top.
Good Morning Friends,
Nifty formed a new all time high and this came with a firm rise in heavy weight Reliance. There are times in history when market topped out with rise in reliance.
Well, important technical point, which is concerning for bulls is RISING WEDGE formation. Band is turning narrow and it can break anytime. Some important point to note is
Why I am not using daily chart? - That's on resistance free zone and all indications are saying to buy and buy but conviction is less. So I focus hourly chart. I am not saying that just go very bearish at this momentum, Just be cautious. I would be happy to see market rising but as of now technical indicators are not as supportive as past.
1. Option data suggest resistance @ 15500 Nifty levels.
2. Nifty support - 15380 for trading
Trade with low volume on buy side.
I have not formed any of my long position. Equally, I booked my long on M&M too.
Happy Trading
Praveen Kumar
Friday, 28 May 2021
NIFTY 28 MAY 2021 : A big one sided move is about to come on either side.
Good morning friends,
It was a remarkable expiry yesterday. Post 2:00 pm trades were too much. Nifty slipped from days high then fall to make days low at 2:30 pm and then rebounded to close at days high. This will definitely be expiry effect.
If you see Nifty, it was in the range of 100 points only and that's makes me to think that Shorts are still in the system.
I have just two concerning points at the moment
1. Rising wedge (Which is again confirmed with narrow range in expiry day)
2. RSI divergence on hourly chart (Which are running too long)
Here is the hourly chart with RSI plotted.
Conclusion - I am clearly having cautiously bullish view and I have a hope for new all time high for Nifty. Still, get the above set up and any trade which sustain below the above plotted support trend line (which drawn lower) will able to change my views and I may add shorts.
As I am not giving much value to technical indicators near all time high so I will look for better conviction from momentum indicators.
Take yesterday low 15270, and hope for rise. Let us see. Improvise levels and views presented here or follow me on twitter for more updates. Join on twitter (Link - https://twitter.com/viecapital)
Be confident and have self-belief
Happy Trading 😀
Regards, Praveen Kumar
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