Nifty:
Nifty was in consolidation mode last week.This being an expiry week,it should move on. Let us see the short term chart below.
The 2 best performing markets in Asia,China and India are in a clear downtrend.Nifty has been clearly down trending with corrections around 10-12 percent as of now.To what extent the correction can happen in Nifty?
The answer is:
Nifty as per the pattern above with 1:1 ratio the target would be somewhere between 5500-5550 and with 1:1.27 target would be 5400-5460.
Though the results are good,the sentiment is weak with worries related to scams,inflation and inability of government and RBI alone to control inflation.Any, one not so good news will pull the market to the above mentioned levels.
However,there is also a probability of Nifty touching 5950-6000.Now the question is which is first,going low or up?It all depends on other factors like FII`s,inflation for next 2 weeks,results and RBI policy on 25th.
The best bull case would be to consolidate above 200DMA and first to cross 5750 and then 5855-5875 convincingly,else bears will kill this market up to 5100 levels and further.
With positive results last week for Reliance and SBI,the 3 consecutive close of Nifty above 5755 would take Nifty to 6000 levels.
Best of your trading!!
Nifty was in consolidation mode last week.This being an expiry week,it should move on. Let us see the short term chart below.
The answer is:
Nifty as per the pattern above with 1:1 ratio the target would be somewhere between 5500-5550 and with 1:1.27 target would be 5400-5460.
Though the results are good,the sentiment is weak with worries related to scams,inflation and inability of government and RBI alone to control inflation.Any, one not so good news will pull the market to the above mentioned levels.
However,there is also a probability of Nifty touching 5950-6000.Now the question is which is first,going low or up?It all depends on other factors like FII`s,inflation for next 2 weeks,results and RBI policy on 25th.
The best bull case would be to consolidate above 200DMA and first to cross 5750 and then 5855-5875 convincingly,else bears will kill this market up to 5100 levels and further.
With positive results last week for Reliance and SBI,the 3 consecutive close of Nifty above 5755 would take Nifty to 6000 levels.
Best of your trading!!
