Nifty Today’s Trend, Prediction, View, Target 7th June 18
Nifty Futures today moved higher during intraday trade along expected lines. We were expecting yet another pullback trend to play out today and yesterday we advised and updated our view, prediction to our clients to exit shorts only from a near-term perspective and then we will be guiding them whenever we will be entering shorts again. We had clearly given a hint yesterday in our website update that we could see pullback today and Nifty Futures has exactly moved in that direction and manner. As usual if you are only trading on the basis of this post please use your own risk management and then only trade. Please do not over trade and always keep your risk in check before trading.
Nifty Futures our view and prediction remains that we will keep seeing lower trend and Nifty will keep making lower top and lower bottom formation till we reach the target for this wave. The RBI policy meeting did raise rates by 0.25 Bps but it seems that markets had already factored a rate hike and hence moved higher post the policy but that is only a near-term effect eventually despite all the news flow markets will keep moving lower for the time being as the main trend is down and till the main trend down does not reverse any pullback like the one we have seen today will be a selling opportunity. The best strategy as per our analysis and view is to use such pullbacks to short sell the Nifty Futures or to exit existing long positions.
The move by the RBI today is an important one. We are not in sync with the RBI projection for inlfation and wxpect inflation to be much higher than what is being projected but the important take away is that RBI will not hesitate to raise rates inspite of pressure from North block if inflation keeps moving higher which to our analysis it will. So this is about to put further pressure on corporate profitability. Now many of you have called me and told me the RBI move today is insignificant because Banks have already moved rates higher but that is not the point with todays move Banks will also adjust rates higher themselves so RBI has signaled end of the down cycle in interest rates and also that further increases are coming. We will not be surprised to see 1-2 more rate hikes within the next year or so.
Good Trading To You!
Part of what we did yesterday and today
6/4/18, 5:57 PM – Glen Drago: Nifty could be volatile this week I was expecting the move towards —- to begin today but what we see on the charts is wave has got fragmented meaning that expected move now is ———. we will know exactly if this count will be playing out by tomorrow afternoon if this fragmentation is confirmed we will ——– on the lower side and sell ——We reiterate that under no circumstances we see 10930 spot Nifty levels being breached. Be very alert as the lower side we do not expect markets to —– if the wave is fragmented so we will be getting limited time to —————–Nifty levels. INR is expected to move within a range of 66-68.50 for the next few trading days post which we expect sharp depreciation taking INR towards 72. Eventually we see INR even heading for around 82.
6/4/18, 5:59 PM – Glen Drago: Please keep in mind that if we see speed picking up then in that case we will see 10100 directly from CMP so tomorrow we will get confirmation if wave is fragmented or not we will keep updating as and when anything needs to be done
6/5/18, 9:13 AM – Glen Drago: Gm
6/5/18, 9:13 AM – Glen Drago: Hold positions as told
6/5/18, 9:13 AM – Glen Drago: Will update if anything has to be done
6/5/18, 9:24 AM – Glen Drago: We must see fast fall today, if the fall is slow in its progression then we do not see —– coming directly and would imply that there is another round pending towards —— spot Nifty levels as mentioned yesterday.
6/5/18, 9:24 AM – Glen Drago: will keep updating if anything needs to be done
6/5/18, 9:45 AM – Glen Drago: If we have to cover shorts will update
6/5/18, 9:45 AM – Glen Drago: As things stand just hold positions as told
6/5/18, 10:48 AM – Glen Drago: Nifty exit 1 part positional shorts
6/5/18, 10:48 AM – Glen Drago: Confirmation Nifty exit 1 part
6/5/18, 10:48 AM – Glen Drago: Nifty hold 3 parts positional shorts as told
6/5/18, 10:49 AM – Glen Drago: As and when anything else has to be done will update
6/5/18, 10:49 AM – Glen Drago: Bank Nifty exit 1 part at cmp
6/5/18, 10:49 AM – Glen Drago: Confirmation bank nifty exited 1 part
6/5/18, 10:50 AM – Glen Drago: We do not see any fast decline visually and that means we could head back to ———– spot Nifty levels
6/5/18, 10:50 AM – Glen Drago: So we may cover more shorts on decline and reenter shorts higher
6/5/18, 10:54 AM – Glen Drago: Nifty positional shorts exit 2nd part at cmp
6/5/18, 10:54 AM – Glen Drago: Confirmation Nifty 2nd part exited
6/5/18, 11:28 AM – Glen Drago: Exit all remaining shorts at cmp
6/5/18, 11:29 AM – Glen Drago: Confirmation all open shorts closed
6/5/18, 12:56 PM – Glen Drago: If anything has to be done will update
6/5/18, 12:56 PM – Glen Drago: As of now no open positions
6/5/18, 12:57 PM – Glen Drago: As per our analysis we see that Nifty can bounce back to ————- area before starting fast fall down
6/5/18, 12:57 PM – Glen Drago: It could come on the news that RBI does not hike rates Tomorrow
6/5/18, 1:19 PM – Glen Drago: Nifty Fut in premium again just FYI no action to be initiated
6/5/18, 2:35 PM – Glen Drago: We are expecting Nifty to bounce again towards ——— spot Nifty levels as we do not see any of the downside wave characteristics in the present fall. As per our analysis this remains a part of the corrective wave that’s started at 9952 and we expect the wave to end around ——– give or take a few points in these levels
6/5/18, 2:35 PM – Glen Drago: We don’t see any upside sustaining and we don’t see 10930 spot being breached under any circumstances so wait for higher side sell msg
6/5/18, 2:37 PM – Glen Drago: Once we touch —- we should start selling for immediate targets of —– and eventually —–
6/5/18, 3:33 PM – Glen Drago: Ge
6/5/18, 3:33 PM – Glen Drago: http://www.mallavv.com/sgx-nifty/nifty-todays-trend-prediction-view-target-6th-june-18.html
6/6/18, 9:13 AM – Glen Drago: Gm
6/6/18, 9:14 AM – Glen Drago: No open positions wait does msg to trade
6/6/18, 12:02 PM – Glen Drago: if anything has to be done will update
6/6/18, 12:02 PM – Glen Drago: please wait patiently on sidelines for the pullback to end
6/6/18, 12:02 PM – Glen Drago: we might use a staggred entry format to sell
6/6/18, 12:02 PM – Glen Drago: will keep updating as and when anything needs to be done