WHERE ARE WE HEADING?????

In above nifty chart we see market trading in a narrow range of 300

pts in two months. I have divided it into upper,middle 7 lower band. Market gets jittery when goes to upper band & lower band. It is confortable when it stays in the middle band. So then what to do. Lets try to short when it goes into upper band & buy in lower band. Use ATR for SL. My gut feeling says we will break the range in the middle of this week. hope that happens. Our Sl for our short is placed @ 2816. JAI HOO............

POST DERIVATIVE CLOSING

I could'nt update for last three days, as my net was out of order. First of all 'Very sorry'.
Then to tomorrow, "please read our weekend report" market have performed as per our view. We are already short (@ 2790) in nifty with sl 2832 closing basis.If you have missed it don't worry it is simple if market closes above 2832 tomorrow go long & if it closes below 2737 go short. Both will give you 100 point reward. Let us see the sl in the week end. JAI HOO..........

WEEKEND ANALYSIS

Second image shows FII & Mf flows. They are still negative. Mf's monthly outflow is highest in last ten months. Fii's are also net sellers & they continue to do so. As per out flow expect a break in the market in the downside.

I expect market to move up to region 2770-2803 maximum on account of short covering & derivative closing. Don't forget to short nifty in this region for a good downside move on latter part of this week. For negate this view nifty should close above 2832 next week. If it closes above 2832 next week let us close our short.

Regarding the first chart, it's nifty weekly chart with reduced band width. Similar formed zone, some time before is highlighted. It is ready to move downward. BE CAUTIOUS.

INTERESTING STAGE

Yesterday's call stop loss hit & then goes to hit first target. As expected it was a volatile day. Instead of predicting the market let us watch tomorrow. No pre-market calls(intra day). If market closes above 2817 tomorrow, go positional long or if closes below 2736 go positional short. We will arrive at sl in the long week end.

INTRESTING PHASE

Yesterday's both a calls suceeded. Market has closed above 2760. Market volatility will increase. Tomorrows close is crucial. Trade with negative bias. Short nifty @ 2787 with sl 2800 for a target of 2768,2757,2738. If market closes below 2736 tomorrow intiate short position or buy march put.

BOUNCE BACK EXPECTED

Expect a bounce from current levels. Go long in nifty with 2710 as SL if market open flat or lower. The bounce might be short lived. On bounce short Nifty @ 2802 with Sl 2822. Play it on intra-day basis. Today market held our support. If closes below it trend will be short.

IS IT A PAUSE IN LONG TREND???

Market has tanked from over bought position. Trend is Neutral. Trend will become short once market closes below 2760. Nf has made a Island Reversal pattern. Which is a bearish signal. Below 2760 we can see blood bath. On other side if market takes support @ 2810 & bounces, higher side target is evident. Do not remain long below 2760.

WEEKEND ANALYSIS

BULLISH TARGET FOR NIFTY SPOT 3082 WILL BE NEGATED ONCE NIFTY CLOSES BELOW 2887. MARKET LACKS BUYING. FIRST CHART - NIFTY DAILY CHART SHOWS THE IMPORTANCE OF 2887. SECOND CHART SHOWS THE FII & MF FLOWS. DON'T GIVE IMPORTANT TO VALUES. IT IS PREPARED FROM 01-01-2007 WITH PRESENT EQUITY OF FII AS RS10000 CR & MF AS RS1000 CR. IT SHOWS ONLY THE DIRECTION. AS PER CHART FII OUT FLOW AS REDUCED BUT BUYING IS NOT EMERGING BOTH FROM FII'S & MF'S. I DON'T SEE ANY MAJOR NEGATIVE TRIGGER FROM PRE-ELECTION-MINI-BUDGET BUT CAN EXPECT SOME MINOR POSITIVE TRIGGER TO THE MARKET. EXPECT OUR NIFTY TARGET(3082) WITH CAUTION ON DOWNSIDE THIS WEEK.

TARGET INTACT

Market need to cross 2960 with good volume for uptrend to continue. Till then trade light & play only intraday trades. No overnight position on any side. Target for nifty 3082 still intact.

DECOUPLING FROM US MARKET

Our target of 3082 is still valid untill market closes below 2850 spot. Market shows signs of decoupling from US market. Current market is "buy on decline". our yesderday's call "buy @NS 2920 with Sl 2907 for a target of 2942-2958-2986" went upto 2937.50 at closing hours of the day. For tomorrow buy nifty @2915 with sl 2900 for target 2950.

NIFTY SPOT MAX RALLY

Nifty spot maximum will rally upto 3082-3220. Tomorrow's call buy @NS 2920 with Sl 2907 for a target of 2942-2958-2986.

Let us try to short near 3082 with sl of 3220 for position. Let market move to that zone till then lets play intraday long.