21-05-2018 - Index views

Nifty cmp : 10,597

We have already discussed about the weakness in the market and a possible fall in coming days. By looking at the chart, it clearly indicates a puncture in the trend and Nifty now shifted its status from “ Buy On Dips ” to “ Sell On Rallies ”. Even the Foreign Investors are in the selling mode which can be seen from the daily FIIs selling data in cash market.

Unless the Nifty breaks & sustains above 10,770 for a couple of  days, the trend is unlikely to regain its strength on the upper side. It is advisable to lessen the long positions in Nifty and Nifty based stocks on every rise in Nifty.

Bank Nifty cmp : 25,878.10

As we have mentioned in our previous post, Bank Nifty had some steam to go up. It went. Still it may go further up but in case of weaker Nifty, the Bank Nifty may become lethargic & subdued. There is a clear weakness emerged in the chart of Bank Nifty. Bank Nifty still looking better than Nifty and trading in between a narrow range. In case of Bank Nifty breaks & sustains below 25,800 and closes below that, we might see a good fall. 26,100 is the level which has to be crossed and sustained above for a good strength and an up move.

Stay Safe, Trade Safe.

 

Please keep in mind, always, forever : “ StopLoss is a life saving tool.”

03-05-2018 - Index views

Hello & Good evening friends…!!!

Welcome back to the Index views again.

Nifty cmp : 10,706.50

Now, dear friends, if you have an access to any charts of Nifty, you must have understood by looking at it, why I was worried and stretching on being “ Cautious ”. Since we have already retraced slightly more than 62% of the fall we recently had, it was quite easy to understand that we might stop here for some time & either consolidate or fall. The market has chose to give away some of its gain.

So for now, we may say that unless & until we close decisively above 10,790, the uptrend won’t take place. At least for the time being, it is true. This level may change in a due course of time as & when chart & the price pattern changes.

As we have already mentioned in the last post, the support level is same as 10,640 on closing basis. A decisive breach and closing below 10,640 may indicate a steep fall of a couple of hundred points or more. So for now one may take these levels as an indicator and can go long / short as per the close of Nifty & as per the comfort. Maintain strict StopLoss.

Please keep in mind, always, forever : “ StopLoss is a life saving tool.”

Bank Nifty cmp : 25,711.80

As we have mentioned in our previous post, Bank Nifty had some steam to go up. It went. Still it may go further up but in case of weaker Nifty, the Bank Nifty may become lethargic & subdued. There is no change in the general scenario & levels & suggestions in Bank Nifty as far as traders are concerned. One may refer to the previous post to get a brief idea.

Stay Safe, Trade Safe.

29-04-2018 - Index views

Hello & Good noon friends…!!!

Welcome back to the Index views again.

Nifty cmp : 10,723.80

After we made an all time high of 11,185 on 29^th January, 2018, we have touched the level of 9960 on 23^rd March, 2018. We fell for almost 2 months. The recovery began on the very same day; we made the low of 9960. The time has come to think again cautiously for any new investment and to think about the investment done in past as well.

Being  “ Cautious ”,  definitely does NOT mean that Market Will Fall, but it surely suggest to be cautious on higher levels for any long positions. Since we have completed more than 60 % of the retracement from the bottom we have made recently, it is the time to be cautiously long. Since market is in a momentum, the inertia may lead the index towards higher levels i.e another 100 /150 points on the upper side but still the caution is warranted on higher levels.

On every rise, one has to book profits and keep lighter positions on the long side and that too with a strict Stop Loss. As of now, “ Buy In Dip, stay light and Keep A Stop Loss ” is a good strategy. Once the Nifty breaks the 10,640 on the closing basis, one may look for selling opportunities in the index and may keep 10,750 as a strict Stop Loss on closing basis.

Bank Nifty cmp : 25,445.20

As compared to Nifty, the Bank Nifty is weaker in strength. Nifty has completed more than 60 % of the retracement whereas the Bank Nifty has not reached even to 50 %. So looking at the overall scenario, it is quite possible that the Bank Nifty may dragged down Or pulled up with the Nifty momentum. As of now it seems that with the upper momentum, even Bank Nifty can touch 25,650 and even more if the domestic market conditions and global scenario permits.

25,000 is a very strong support zone for short term in Bank Nifty. It is almost on the resistance zone and hovering around it. May be, the steam is still left for a couple of hundred points but after that one has to be cautious. In fact, one has to be cautious right now and watch keenly the support zones we have discussed for both the indices. If those are breached on closing basis, you must take care of your longs with a proper Stop Loss, till then, ride the rally with a trailing Stop Losses and hold your horses for any fresh long trades / investments till we get a Break Out Or get a good, very good Dip to start investing / long positional trades. Till then,

Stay Safe, Trade Safe.

16-10-2017 - Index views

NIFTY : 10,256

As mentioned, "The trend is up & the Nifty will go up & one may go long with a Stop Loss of 10,100", the Nifty did exactly in the same manner. The trend is not only up but it is slowly breaking out also which gives the enormous strength to the NIFTY. It does not mean that the NIFTY won’t come down at all but it means that the correction will be a correction in real sense. It might be shallower than we think or it may consolidate in a range for quite a good time & then resume the uptrend again.

In any case, we have to keep a strict Stop Loss of 10,100 for the longs in NIFTY. One may exit in case of the close below 10,100 & again reenter on the close above that. This strategy will be valid till the time new signal & level does not get generated. Since we are on the all time high, there is no past reference for the target but looking at the pace & the behavior, we may assume that 10,500 is very much possible in near future.

Other levels & the trend will be discussed in the next post when the appropriate signal will be generated. Till then, keep the levels handy which we have discussed here.

BankNifty : 24,743.30

There is no change in either view or levels to trade as there was hardly any change in the close as it is flat. You may refer the previous post which is repeated below :

The BankNifty also has given a short term breakout on the daily chart. It looks strong in short term. the BankNifty has trapped in a big trading range. Now the resistance & targets can be set at 24,900 & 25,200 for short / medium term. A strong support zone is at 24,200 to 24,000. One may take 24,200 as a warning bell & start exiting all the longs in BankNifty or any other banks, once it closes below 24,200. A strong close below 24,000 may drag the BankNifty further down. So please keep these broad range & the levels in mind & trade accordingly.