SGX Nifty 30th May 2016
PLEASE NOTE THAT THIS IS MY OVERALL VIEW ON THE NIFTY AND THAT DOES NOT MEAN PRECISE ENTRY AND EXIT POINTS WILL BE MENTIONED IN THIS POST. IF YOU ARE TRADING ONLY ON THE BASIS OF THIS POST PLEASE USE APPROPRIATE RISK MANAGEMENT AND THEN ONLY TRADE.
I have got may request from many followers of this website in order to make our view public. The previous post we did was password protected as some confidential information was shared in them with our clients and those who wish to read that may join and read and follow our messages.
I have noted that many people have actually taken huge positions by just reading our updates. I must tell you all that this post was never intended to guide you on exact entry and exit points but was just a overall view from my side. My view may be right or wrong is secondary and my style of trading may suit some or may not suit some that is a different question but this post was never intended to tell you to trade at x or y point, if you want to trade at x or y point we do have our paid services for them and it is highly recommended that you trade as per what you see on your system or you join us and follow our trades. If you want to trade exactly and point to point. It was and always has been my intention only to write what I see on the price charts and astro cycles. It never was intended to tell you to short sell or buy or sit on sidelines at point a, b or c. So hence forth please let me make it very clear that I am just sharing my view. I may be wrong so if you are not our client and we are not managing or guiding you on the trade then you must at all times keep your risk management in place and trade. If you make money on your trade great for you, if you loose money on your trade good learning for you. I once again repeat that the intention is to guide on my overall view for the next few months and days not only for next week. I am not God to be 100% right. I do my work and guide with whatever systems I have as of today with whatever I have learnt from the markets, sure we will keep the learning on and keep our focus on improving but that does not mean I will not make mistakes or go wrong. I am human and not God. I too reserve the right to go wrong and you must not blindly follow me at any given time. If you are our paid client then only you must follow us blindly not otherwise and that too if you feel confident enough that we are guiding properly and that is the reason I tell our new clients to go slow in the first few months gain the confidence and then slowly and gradually increase the qty of trading. Trading is a process to my mind not a event. If you are our non paid customer then you must not trade without adequate risk management.
Let’s get back to the markets now. Nifty has been rising sharply for the past three days and we have been on the short side. We continue to maintain that though in the near term the momentum is on the upside we do not see prices sustaining on the higher side and we see the next few months for world equities lower from here. The point that we have been making is that three or four months down the line Nifty will be significantly lower from here (as per our calculations). I do not see Nifty sustaining around these levels and I maintain that we will see Nifty much lower from here but does that mean in the near term we can not see some more upside? sure some more upside can be seen and can be expected. If I could have caught the exact top and bottom I would have been God but I am human so please keep that in mind. I am writing here as to guide and update my perspective on the markets and I reserve the right to be wrong.
My advice to everyone who has been short is that holding shorts will make good money from the next three months perspective the fall may happen earlier also but we will see significantly lower prices from here based on a three months view, in the immediate term if you are short please use proper risk management to hold your positions and do not over trade. Based on multiple systems that we track be it valuation parameters, momentum indicators, international indices, vix tracking system, elliot wave, gann wave all of them are pointing out to a very bearish phase in the markets over the next few months and that may extend till the end of this year also but once again in the near term it is important to manage your positions and if you are not our paid client then please keep your risk in check. Please do not over trade, please manage your risk.
Good Trading To You!