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 16th Jan 2017
Nifty Futures / SGX Nifty continued its bullish move along expected lines and today made a high of 8461 spot Nifty levels. We have been saying time and again that near-term trend will be bullish and the markets have done exactly that. A majority of the traders and investors were very bearish when Nifty touched 7900-8000 levels in early Nov 2016 and as we had mentioned that everyone was in a consensus trade that Nifty would touch 7600. As we had pointed out time and again that whenever the entire market is thinking the same markets would not move in that direction. Most market participants were expecting Nifty to touch 7600 and Nifty has moved exactly in the opposite direction and moved higher by almost 550 points from the low made in Nov 2016.
Now as we see most traders have been forced to exit their shorts and after yesterday’s IIP (not that I believe the numbers I think there has been some real mistake in calculation of IIP this time which will be revised later on) and Inflation numbers, most traders who were approaching the market with a sell on rise are seen cutting and trimming their short positions.
Nifty now has some important Astro cycle events coming up in the next few days. Yesterday we had Sun square Neptune and on 19th Mars will square Saturn also as per Vedic astrology Sun and Mars will be changing house shortly. These are very important changes taking place and we will be watching out for the near term trend. Keep in mind that the final target for Nifty is 5872 but in the next few trading days, we could see major volatility taking place in both Indian stock markets and the Global stock markets so caution is advised now. Do not get trade aggressively for the next few trading days and keep in mind that the final target for Nifty is 5872 but at the same time also keep in mind that near-term trend could be very choppy so trade light in Nifty in the next few trading days.
With regards to sugar stocks, Ugar has been doing very well and we see a good time for most sugar stocks in the coming days. We reiterate that do not look and mix up Nifty trend with sugar stocks as what sugar stocks will do and what Nifty will do will be two different things altogether. Nifty will touch 5872 after this wave is over and sugar will keep moving higher regardless of what Nifty does. The same also applies to Gold and Silver. A lot of people have asked us that since markets will move down will it not mean that Gold and Silver will move up? Sure Gold and Silver will move higher but there is still some time remaining as per our analysis and we could see some near-term weakness or may be a dip and then the accumulation phase would begin. Once again we reiterate that Silver will perform better as per our understanding than Gold and hence if you are a near term trader buying silver at appropriate levels and time will give more profits in coming time.
There are some great opportunities in some agricultural commodities and we will update our PAS clients on the same, some of these commodities will move up by almost 200 percent in the year 2017. Stocks and Nifty will not make much money if you are only following a buy and hold strategy but some agri-commodities will go through the roof (I am not referring to sugar) besides sugar also there will be a few agricultural commodities which will just zoom higher to unimaginable levels and as per our analysis the money to be made for this year will be in those commodities not in stocks as a asset class.
Good Trading To You!