Nifty 13th Oct 2017

SGX Nifty Futures

LTP   10,940.00   +26.00 +0.24% High 11,041.50 Low 11,001.00 (Change Vs Today’s Nifty Futures (NSE) Closing)

Nifty Futures 13th Oct 2017

Silver has been doing well and we have been trading in and out over the past few weeks in Silver. Yes medium to long term and even in the near term I am very bullish on Silver and we see Silver moving higher from even current prices but as we have guided last time it will be prudent to buy into panic and sharp sell offs rather than trying to chase prices on the upside so although our view remains very bullish for silver the key to making good money in silver will be to time the entry and also take care of proper position at appropriate prices.  Part of what we did in silver is enclosed below

[10:39 AM, 10/9/2017] +91 90040 79145: Silver book profits in part 2 bought at 38200

[10:39 AM, 10/9/2017] +91 90040 79145: Confirmation Silver booked 1 part

[10:39 AM, 10/9/2017] +91 90040 79145: Hold remaining 1 part Silver long as told

[10:40 AM, 10/9/2017] +91 90040 79145: Will keep updating as and when anything needs to be done

[10:40 AM, 10/9/2017] +91 90040 79145: Ugar sugar accumulate

Nifty today did move higher in style post yesterday’s sell off however if we see the past few days records Nifty has been steadily moving higher slowly but surely over the past few days post making a low of 9687 in spot Nifty.  For the past few days most people are talking about slow down in the economy but the fact was and remains that the economy has actually been slowing for some time now and the contention that 5.7 GDP is an aberration is actually incorrect as per my understanding.  So over the past one year earnings have been contracting, GDP has been contracting consistently, PE has been expanding and the general perception is that all this is taking place due to liquidity. Well that is possible but how long will this continue that is the question and that question ‘s answer interestingly does not lie in the Nifty chart it lies elsewhere so till that market / instrument does not turn our Nifty will not turn. The correlation between that market and Nifty has been amazing till now and even today is moving exactly in tandem so those who want to know when and where is this Nifty move ending search for the answer in some other market as the answer lies in that market and it is very evident and obvious but if you try to break your brains for the answer from Nifty chart the answer although possible is not available easily. It will need much more work to understand what Nifty is doing in an isolated manner so look at a few more markets and the answer will present itself. I understand that even trading via the correlation is not a easy task and has multiple challenges but using the other market instruments where the charts are crystal clear rather it’s as good a write up from the text book.

God Trading To You!