NIFTY FUTURE AFTER 6 CONSECUTIVE DAYS OF NEGATIVE CLOSINGS, BROUGHT A SIGH OF RELIEF BY GOING +VE ON WEDNESDAY, THANKS TO THE ADVANCE ACTION BY THE BULLS ONE DAY AHEAD OF THE THANKS GIVING HOLIDAY IN U.S.. IT IS INTERESTING TO NOTE THAT ON NON OF THESE 6 NEGATIVE DAYS NIFTY CLOSED BELOW THE CONFLUENCE OF THE SUPPORT LINES ALTHOUGH IT HAD BREACHED THE SUPPORT LINES ON INTRADAY BASIS TO TRIGGER STOP LOSSES OF WEAKER HANDS. ALTHOUGH, AS LONG AS NIFTY FUTURE REMAINS BELOW THE MAGIC LEVEL OF 5665, IT WILL CONTINUE TO BE UNDER THE CONTROL OF BEARS, YET THE MAGIC LOW MADE BY NIFTY FUTURES ON TUESDAY 20TH NOV AT 5555.55 MAY REMAIN A SYMBOLIC
LOW FOR MANY DAYS TO COME, A DECISIVE BREACH AND MORE IMPORTANTLY A CLOSE BELOW WHICH ONLY WILL THREATEN THE BULLS. SO, GO LONG ON EVERY INTRA DAY DECLINE BY HAVING A STOP LOSS BELOW HE CRITICAL TWIN 11 POINT ZONE OF 5555 TO 5544 FUTURE LEVELS.
FOR THURSDAY’S TRADING PURPOSE, ONE MAY EXPECT THE UP MOVE STARTED FROM TUESDAY’S’ LOWS TO CONTINUE AND MOST LIKELY NIFTY FUTURES WILL MAKE AN EFFORT TO TEST THE CRITICAL LEVEL OF 5665. THE CANDLE OF MONDAY WAS A NRB DOJI AT THE LOWER BOLLINGER BAND, WHICH BECAME AN OUT SIDE CANDLE TO THE CANDLE OF TUESDAY & THE MOTHER CANDLE OF TUESDAY HAD THE HIGH OF 5616 & LOW OF 5555 FUTURE LEVELS. THE HIGH OF THIS OUTSIDE CANDLE SETUP WAS BREACHED ON WEDNESDAY BY HAVING A HIGHER HIGH OF 5628 WITH A CLOSING AT 5622 ON THE 50 EMA (THAT TOO ABOVE TUESDAY’S HIGH OF 5616). A BULLISH MOVE ON THURSDAY SHOULD TRIGGER MASSIVE SHORT COVERING TO PROPEL NIFTY FUTURES TOWARDS MUCH HIGHER LEVELS IN NEXT FEW DAYS. SIMILARLY A CLOSE BELOW THE LOW OF TUESDAY’S MOTHER CANDLE AT 5555 WILL SIGNAL ANOTHER MASSIVE FALL.
THURSDAY MAY SEE ANOTHER GAP UP AND IF THE GAP UP DOES NOT COME THEN EVERY INTRADAY DECLINE WILL INVITE HEAVY BUYING. INITIAL SUPPORT FOR NIFTY FUTURE IS AROUND 5614 THAT SHOULD SEE GOOD BUYING COMING IN. FAILURE TO HOLD 5614 MAY BRING DOWN NIFTY FUTURES TOWARDS 5600 LEVELS THAT MAY SUMMON THE BULLS TO COME FROM ALL DIRECTIONS TO PROTECT 5600. A FAILURE TO PROTECT THE PSYCHOLOGICAL LEVEL OF 5600 MAY PULL NIFTY FUTURES TOWARDS 5694 BELOW WHICH 5680 MAY ALSO COME, TO AGAIN SEE A WEDNESDAY TYPE BOUNCE TOWARDS 5600+ LEVELS.
SIMILARLY ON THE HIGHER SIDE, IF THERE IS NOT A BIG GAP UP ABOVE 5635 FUTURE LEVELS, THEN NIFTY FUTURES MAY FIND INITIAL HURDLE AROUND 5636 ABOVE WHICH IT MAY MOVE UP TO 5644 TO 5650 TO THEN EYE FOR THE CRITICAL RESISTANCE OF 5665 TO 5670. ONLY SUSTAINING ABOVE THE CRITICAL FUTURE ZONE OF 5665 TO 5670 WILL CONFIRM THE CORRECTION IS OVER THAT WILL BE FOLLOWED BY ACTIONS OF BEARS ONLY BUT THIS TIME THE BEARS GETTING INDULGED IN SHORT COVERING AFTER SHORT COVERING ONLY. MOST LIKELY THE CORRECTION SEEMS TO BE OVER AND THE OPERATORS FUTURE ACTION OF PULLING DOWN THE MARKETS TO WEED OUT WEAKER HANDS MUST BE FULLY UTILIZED BY MEDIUM TO LONG TERM INVESTORS TO BUY & BUY ONLY FOR GREAT GAINS IN NEAR FUTURE.
LOW FOR MANY DAYS TO COME, A DECISIVE BREACH AND MORE IMPORTANTLY A CLOSE BELOW WHICH ONLY WILL THREATEN THE BULLS. SO, GO LONG ON EVERY INTRA DAY DECLINE BY HAVING A STOP LOSS BELOW HE CRITICAL TWIN 11 POINT ZONE OF 5555 TO 5544 FUTURE LEVELS.
FOR THURSDAY’S TRADING PURPOSE, ONE MAY EXPECT THE UP MOVE STARTED FROM TUESDAY’S’ LOWS TO CONTINUE AND MOST LIKELY NIFTY FUTURES WILL MAKE AN EFFORT TO TEST THE CRITICAL LEVEL OF 5665. THE CANDLE OF MONDAY WAS A NRB DOJI AT THE LOWER BOLLINGER BAND, WHICH BECAME AN OUT SIDE CANDLE TO THE CANDLE OF TUESDAY & THE MOTHER CANDLE OF TUESDAY HAD THE HIGH OF 5616 & LOW OF 5555 FUTURE LEVELS. THE HIGH OF THIS OUTSIDE CANDLE SETUP WAS BREACHED ON WEDNESDAY BY HAVING A HIGHER HIGH OF 5628 WITH A CLOSING AT 5622 ON THE 50 EMA (THAT TOO ABOVE TUESDAY’S HIGH OF 5616). A BULLISH MOVE ON THURSDAY SHOULD TRIGGER MASSIVE SHORT COVERING TO PROPEL NIFTY FUTURES TOWARDS MUCH HIGHER LEVELS IN NEXT FEW DAYS. SIMILARLY A CLOSE BELOW THE LOW OF TUESDAY’S MOTHER CANDLE AT 5555 WILL SIGNAL ANOTHER MASSIVE FALL.
THURSDAY MAY SEE ANOTHER GAP UP AND IF THE GAP UP DOES NOT COME THEN EVERY INTRADAY DECLINE WILL INVITE HEAVY BUYING. INITIAL SUPPORT FOR NIFTY FUTURE IS AROUND 5614 THAT SHOULD SEE GOOD BUYING COMING IN. FAILURE TO HOLD 5614 MAY BRING DOWN NIFTY FUTURES TOWARDS 5600 LEVELS THAT MAY SUMMON THE BULLS TO COME FROM ALL DIRECTIONS TO PROTECT 5600. A FAILURE TO PROTECT THE PSYCHOLOGICAL LEVEL OF 5600 MAY PULL NIFTY FUTURES TOWARDS 5694 BELOW WHICH 5680 MAY ALSO COME, TO AGAIN SEE A WEDNESDAY TYPE BOUNCE TOWARDS 5600+ LEVELS.
SIMILARLY ON THE HIGHER SIDE, IF THERE IS NOT A BIG GAP UP ABOVE 5635 FUTURE LEVELS, THEN NIFTY FUTURES MAY FIND INITIAL HURDLE AROUND 5636 ABOVE WHICH IT MAY MOVE UP TO 5644 TO 5650 TO THEN EYE FOR THE CRITICAL RESISTANCE OF 5665 TO 5670. ONLY SUSTAINING ABOVE THE CRITICAL FUTURE ZONE OF 5665 TO 5670 WILL CONFIRM THE CORRECTION IS OVER THAT WILL BE FOLLOWED BY ACTIONS OF BEARS ONLY BUT THIS TIME THE BEARS GETTING INDULGED IN SHORT COVERING AFTER SHORT COVERING ONLY. MOST LIKELY THE CORRECTION SEEMS TO BE OVER AND THE OPERATORS FUTURE ACTION OF PULLING DOWN THE MARKETS TO WEED OUT WEAKER HANDS MUST BE FULLY UTILIZED BY MEDIUM TO LONG TERM INVESTORS TO BUY & BUY ONLY FOR GREAT GAINS IN NEAR FUTURE.
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