Nifty Prediction Do not see Nifty sustaining at higher levels from longer term perspective. Be very nimble footed and trade. Watch out for sharp volatility.
Our levels what we had predicted at 7500 levels has come once again however we do see any value from a portfolio stand point does that mean that Nifty can not move a bit more higher from here and touch levels of 10500 or 10800 sure that is a possibility and I am not suggesting for one minute that the absolute lower top formation has taken place in Nifty however at the same time it is critical to remember that the current rally is a liquidity driven rally and not a fundamentally driven one and around levels of 10200 we are well ahead of any sort of earnings curve or for that matter from a valuations stand point there is no safety broadly speaking. There are some pockets of strength but that is not the case from a broad market perspective. We are predicting lower levels in the second half of the year so we should get better valuations and levels to buy for longer term portfolio construction.
Near term traders can buy otm puts only on confirmation of a reversal till the time we do not have a visual confirmation we should not be short selling this market because even though this is a corrective wave which is currently on going and there is a possibility of this getting split into another round of complex correction hence it is prudent to manage risk which can be done through options trading and at the same time buying otm puts only on confirmation of a reversal will be a good trade but till the time we do not see a reversal confirmation we must not buy puts or short sell Nifty.
From an astro cycle perspective Saturn, Jupiter, Venus and Mercury are all retrograde and on 22nd Neptune will also go retrograde (watch out for some wild moves in crude oil) and there is also a solar eclipse in between all of this and Venus will go direct on 25th June so all this is going to create lots of confusion and choppy moves can originate out of no where also, this is a also a time when sudden price swings often very large takes place in very less or compressed amounts of time.
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.