Nifty Trend, Prediction, View, Target 29th May 18
Nifty touched the 10700 area today and closed by around 77 points in the green. As per our analysis, view, prediction we do not feel that the current move is a part of a new bullish trend and we remain of the view that this current ongoing move remains a pullback and once again we reiterate our view that from time to time pullbacks will keep coming markets will have regular pullbacks but these pullbacks need to be used to exit longs and not add longs as most of the market participants are doing as of now. As things stand right now may investors, traders and analysts are thinking that current move is a fresh bullish move because optically looks like one to many but as per our view, analysis and prediction this move will also end up making another lower top like 10930 lower top simply because the main trend is down so please keep that in mind and then only trade whenever you see euphoria it is time to be very cautious and not get carried away by the move. With regards to investments we have clearly mentioned in our previous updates also that we do not feel that this is the right price to be buying as valuations remain very high and most of the headwinds remain though there has been a minor let off in crude oil prices and there has been some appreciation in the rupee.
Many traders are attributing today’s or rather the past 3 trading days rise in the Indian stock markets / Nifty Futures to the fall in crude oil prices and appreciation in the Indian rupee but please keep in mind that crude oil has not reversed but it is only a pullback in the ongoing up move in crude oil prices and eventually crude oil will make a higher bottom and then continue moving higher towards 82$/ barrel area. We do not see that the major bullish trend in crude oil has ended for now. In a similar manner INR appreciation is also just a pullback in a longer term up move and we do not see INR moving much more on the downside. There could be some more volatility in INR also but eventually it will end up making a higher bottom and move higher towards 72+.
The expected counts and move of Nifty Futures has been given to our clients and we will keep updating them live during market hours. 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 please always keep your risk in check before trading.
Good Trading To You!