DURING THE WEEK SPOT NIFTY MADE A NEW HIGH FOR THE YEAR 2013 BY REACHING A HIGH OF 6252 ON THURSDAY 24TH OCTOBER ABOVE THE 20TH MAY HIGH OF 6229. NIFTY ALSO BREACHED THE RESISTANCE LINE COMING FROM DIWALI 5TH NOVEMBER 2010 HIGH OF 6338 JOINING THE 20TH MAY 2013 HIGH OF 6229. HOWEVER THE ALARMING FEATURE IS THAT NIFTY FAILED TO STAY ABOVE THE EARLIER 20TH MAY HIGH OF 6229 AND ALSO FAILED TO SUSTAIN ABOVE THE RESISTANCE LINE. THE FORMATION OF A PIN BAR / DOJI ON 24TH OCTOBER TO SLIDE THERE AFTER ON FRIDAY TO CLOSE EXACTLY AT 6144 WHICH WAS THE LOW OF THE DOJI OF 24TH OCTOBER STRENGTHENS THE BEARS FOR THE COMING WEEK.
SO, A FURTHER FALL ON MONDAY TO SUSTAIN BELOW THE THURSDAY’S DOJI LOW OF 6144 OR BELOW FRIDAYS LOW OF 6125 MAY SEE FURTHER FALL TOWARDS MUCH LOWER LEVELS. IN ANY CASE, A SLIDE AFTER MAKING NEW YEARLY HIGH IS VERY COMMON IN NATURE THAT ALLOWS NIFTY TO PLEASE THE BEARS A BIT BEFORE MUSTERING ENOUGH STRENGTH TO MOVE UP AGAIN TO BREACH THE RESISTANCE LINE AND MOVE UP FURTHER TOWARDS THE NEW LIFE TIME HIGHS ABOVE 8TH JANUARY 2008 HIGH OF 6357. SO, EVEN IF SOME SLIDE MAY COME IN CASE NIFTY FAILS TO BREACH IN ITS SECOND ATTEMPT THE 24TH OCTOBER HIGH OF 6252, THIS SLIDE IN NO WAY WILL UNDERMINE THE OVER ALL BULLISH STRENGTH OF NIFTY WHICH IN ALL PROBABILITIES WILL TEST AND BREACH THE EARLIER HIGHS OF 6338 & 6357 FOR A NEW LIFE TIME HIGH MUCH ABOVE THESE.
THE INDICATORS IN THE WEEKLY CHARTS CONTINUE TO LOOK ROBUST & A WEEKLY NEGATIVE CLOSE ON FRIDAY AT 6144 SPOT AFTER THREE CONSECUTIVE WEEKS OF HIGHLY +VE WEEKLY CLOSINGS MAY NOT DAMPEN THE WEEKLY BULLISHNESS AS LONG AS SPOT NIFTY CONTINUES TO STAY ABOVE THE WEEKLY SUPPORT LINE COMING FROM WEEKENDING 30TH AUGUST LOW OF 5119 JOINING THE WEEKENDING 4TH OCTOBER LOW OF 5701. HOWEVER A FURTHER SLIDE DURING THE REMAINING DAYS OF OCTOBER TO CLOSE THE WEEK BELOW 6030 SPOT WHICH IS THE LOW OF WEEK ENDING 18TH OCTOBER & ALSO BELOW THE WEEKLY SUPPORT LINE MAY DELAY ALL THE HOPES OF HEFTY BULLS PLOTTING TO MAKE A NEW LIFE TIME HIGH ABOVE 6357 BY END THIS YEAR OR VERY EARLY NEXT YEAR.
THE INDICATORS IN THE DAILY CHARTS CERTAINLY LOOK OVERBOUGHT AND SOME CRITICAL INDICATORS LIKE MACD & CCI ARE FORMING DISTINCT NEGATIVE DIVERGENCES. NIFTY’S CLOSING ON FRIDAY AT 6144 AT THE DOJI LOW OF THURSDAY AND BELOW THE 7TH NRB OF 22ND OCTOBER AND ALSO BELOW THE DOJI LOW OF 21ST OCTOBER ARE ALL TOPPING OUT INDICATIONS THAT MAY ENCOURAGE INTRADAY BEARS TO INDULGE IN MERCILESS SHORTING ACTION ON EVERY INTRADAY RISE OF SPOT NIFTY BY HAVING A STOP LOSS ABOVE THE YEARLY HIGH OF 6252 SPOT. 17TH OCTOBER LOW OF 6032 AROUND THE DAILY PIVOT MAY BE THE LAST HOPE FOR THE BULLS BEFORE THEY QUIETLY DECIDE TO JOIN HANDS WITH THE BEARS IN PULLING NIFTY FURTHER DOWN TOWARDS THE SEQUENTIAL FIBO LEVELS OF 6046, 5980 & 5913 AS LEVELED IN THE CHART ABOVE. IN CASE BULLS WANT TO SAVE THEMSELVES THEN THEY HAVE TO LIFT NIFTY UP TO BREACH AND SUSTAIN ABOVE FRIDAY’S NRB HIGH OF 6174 TO FORCE & INDUCE BEARS INTO SOME SHORT COVERING THAT MAY LIFT SPOT NIFTY TOWARDS RETESTING AND BREACHING OF THE NEW YEARLY HIGH OF 6252 FAILING WHICH THE BULLS MAY HAVE TO BOW DOWN & LET THE BEARS RULE THE MARKETS FOR THE REMAINING DAYS OF OCTOBER TOWARDS SUB 6000 SPOT NIFTY LEVELS.
FOR INTRADAY TRADING OF NIFTY FUTURES ON MONDAY 28TH OCTOBER EXPECT THE BEARISHNESS TO CONTINUE IN CASE BULLS FAIL IN THEIR ATTEMPT TO LIFT SPOT NIFTY ABOVE 6174. INTRADAY TRADERS ARE LIKELY TO MAKE HANDSOME GAINS IN RESORTING TO BOLD SHORTING ON EVERY INTRADAY RISE BY HAVING A STOP LOSS ABOVE 6174 SPOT ON AT LEAST A 15 MINUTE A CANDLE CLOSING BASIS. BEAR DOMINANCE MAY SEE INITIAL LOW OF 6125 BELOW WHICH SUB 6100 TOWARDS 6095 SPOT IS A DISTINCT POSSIBILITY . IN CASE BEARS CAN MANGE TO DOMINATE THE “NO MANS LAND” ZONE OF 6095 TO 6090 SPOT THEN ONE MAY SEE A STONE LIKE FALL TOWARDS 6074 OR EVEN 6060 TO 6055 SPOT LEVELS BEFORE ONE CAN EVEN THINK OF ANY BOUNCE.
SIMILARLY ON THE HIGHER SIDE, IN CASE BULLS CAN MANAGE TO CONQUER THE CRITICAL SPOT NIFTY LEVELS OF 6174 TO 6180, THEN ONE MAY SEE BEARS INDULGING IN SHORT COVERING TO PROPEL SPOT NIFTY TOWARDS 6200 OR HIGHER LEVELS OF 6210. EVEN A DECISIVE BREACH OF 6160 TO 6165 SPOT NIFTY ZONE TO STAY ABOVE THIS ZONE FOR A FEW MINUTES TO CLOSE A 30 MINUTE CANDLE ABOVE IT MAY SEE BEARS RUNNING AWAY BY COVERING THEIR SHORTS WITHOUT EVEN WAITING FOR THE CRITICAL SPOT ZONE OF 6174 TO 6180.
SO, A FURTHER FALL ON MONDAY TO SUSTAIN BELOW THE THURSDAY’S DOJI LOW OF 6144 OR BELOW FRIDAYS LOW OF 6125 MAY SEE FURTHER FALL TOWARDS MUCH LOWER LEVELS. IN ANY CASE, A SLIDE AFTER MAKING NEW YEARLY HIGH IS VERY COMMON IN NATURE THAT ALLOWS NIFTY TO PLEASE THE BEARS A BIT BEFORE MUSTERING ENOUGH STRENGTH TO MOVE UP AGAIN TO BREACH THE RESISTANCE LINE AND MOVE UP FURTHER TOWARDS THE NEW LIFE TIME HIGHS ABOVE 8TH JANUARY 2008 HIGH OF 6357. SO, EVEN IF SOME SLIDE MAY COME IN CASE NIFTY FAILS TO BREACH IN ITS SECOND ATTEMPT THE 24TH OCTOBER HIGH OF 6252, THIS SLIDE IN NO WAY WILL UNDERMINE THE OVER ALL BULLISH STRENGTH OF NIFTY WHICH IN ALL PROBABILITIES WILL TEST AND BREACH THE EARLIER HIGHS OF 6338 & 6357 FOR A NEW LIFE TIME HIGH MUCH ABOVE THESE.
THE INDICATORS IN THE WEEKLY CHARTS CONTINUE TO LOOK ROBUST & A WEEKLY NEGATIVE CLOSE ON FRIDAY AT 6144 SPOT AFTER THREE CONSECUTIVE WEEKS OF HIGHLY +VE WEEKLY CLOSINGS MAY NOT DAMPEN THE WEEKLY BULLISHNESS AS LONG AS SPOT NIFTY CONTINUES TO STAY ABOVE THE WEEKLY SUPPORT LINE COMING FROM WEEKENDING 30TH AUGUST LOW OF 5119 JOINING THE WEEKENDING 4TH OCTOBER LOW OF 5701. HOWEVER A FURTHER SLIDE DURING THE REMAINING DAYS OF OCTOBER TO CLOSE THE WEEK BELOW 6030 SPOT WHICH IS THE LOW OF WEEK ENDING 18TH OCTOBER & ALSO BELOW THE WEEKLY SUPPORT LINE MAY DELAY ALL THE HOPES OF HEFTY BULLS PLOTTING TO MAKE A NEW LIFE TIME HIGH ABOVE 6357 BY END THIS YEAR OR VERY EARLY NEXT YEAR.
THE INDICATORS IN THE DAILY CHARTS CERTAINLY LOOK OVERBOUGHT AND SOME CRITICAL INDICATORS LIKE MACD & CCI ARE FORMING DISTINCT NEGATIVE DIVERGENCES. NIFTY’S CLOSING ON FRIDAY AT 6144 AT THE DOJI LOW OF THURSDAY AND BELOW THE 7TH NRB OF 22ND OCTOBER AND ALSO BELOW THE DOJI LOW OF 21ST OCTOBER ARE ALL TOPPING OUT INDICATIONS THAT MAY ENCOURAGE INTRADAY BEARS TO INDULGE IN MERCILESS SHORTING ACTION ON EVERY INTRADAY RISE OF SPOT NIFTY BY HAVING A STOP LOSS ABOVE THE YEARLY HIGH OF 6252 SPOT. 17TH OCTOBER LOW OF 6032 AROUND THE DAILY PIVOT MAY BE THE LAST HOPE FOR THE BULLS BEFORE THEY QUIETLY DECIDE TO JOIN HANDS WITH THE BEARS IN PULLING NIFTY FURTHER DOWN TOWARDS THE SEQUENTIAL FIBO LEVELS OF 6046, 5980 & 5913 AS LEVELED IN THE CHART ABOVE. IN CASE BULLS WANT TO SAVE THEMSELVES THEN THEY HAVE TO LIFT NIFTY UP TO BREACH AND SUSTAIN ABOVE FRIDAY’S NRB HIGH OF 6174 TO FORCE & INDUCE BEARS INTO SOME SHORT COVERING THAT MAY LIFT SPOT NIFTY TOWARDS RETESTING AND BREACHING OF THE NEW YEARLY HIGH OF 6252 FAILING WHICH THE BULLS MAY HAVE TO BOW DOWN & LET THE BEARS RULE THE MARKETS FOR THE REMAINING DAYS OF OCTOBER TOWARDS SUB 6000 SPOT NIFTY LEVELS.
FOR INTRADAY TRADING OF NIFTY FUTURES ON MONDAY 28TH OCTOBER EXPECT THE BEARISHNESS TO CONTINUE IN CASE BULLS FAIL IN THEIR ATTEMPT TO LIFT SPOT NIFTY ABOVE 6174. INTRADAY TRADERS ARE LIKELY TO MAKE HANDSOME GAINS IN RESORTING TO BOLD SHORTING ON EVERY INTRADAY RISE BY HAVING A STOP LOSS ABOVE 6174 SPOT ON AT LEAST A 15 MINUTE A CANDLE CLOSING BASIS. BEAR DOMINANCE MAY SEE INITIAL LOW OF 6125 BELOW WHICH SUB 6100 TOWARDS 6095 SPOT IS A DISTINCT POSSIBILITY . IN CASE BEARS CAN MANGE TO DOMINATE THE “NO MANS LAND” ZONE OF 6095 TO 6090 SPOT THEN ONE MAY SEE A STONE LIKE FALL TOWARDS 6074 OR EVEN 6060 TO 6055 SPOT LEVELS BEFORE ONE CAN EVEN THINK OF ANY BOUNCE.
SIMILARLY ON THE HIGHER SIDE, IN CASE BULLS CAN MANAGE TO CONQUER THE CRITICAL SPOT NIFTY LEVELS OF 6174 TO 6180, THEN ONE MAY SEE BEARS INDULGING IN SHORT COVERING TO PROPEL SPOT NIFTY TOWARDS 6200 OR HIGHER LEVELS OF 6210. EVEN A DECISIVE BREACH OF 6160 TO 6165 SPOT NIFTY ZONE TO STAY ABOVE THIS ZONE FOR A FEW MINUTES TO CLOSE A 30 MINUTE CANDLE ABOVE IT MAY SEE BEARS RUNNING AWAY BY COVERING THEIR SHORTS WITHOUT EVEN WAITING FOR THE CRITICAL SPOT ZONE OF 6174 TO 6180.
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