Nifty Update 19th Feb 2018
Nifty is moving along expected lines. Nifty had a Gap up open on Friday but could not sustain on the higher side and started falling eventually closing the day well in the red. Indian Bond Yields also did move up and as we have mentioned in our past updates also they will evntually settle between 7.50-7.85 in the near term. There will be volatility but eventually this is the range that we see it settling into. INR too has seen a good reversal today and eventually that too is headed higher, targets and other details we will provide them to our clients in the coming days. Nifty has been under performing all global markets for the past few trading days as negative news flow for banks keeps pouring in. As we have mentioned in the past updates also that there are significant head winds for India and we do not expect them to be resolved in the near term.
Part of what we recomended over past few days is mentioned below
2/15/18, 1:14 PM – Glen Drago: Stbt trade Nifty sell part 2 between 10660-10630 spot Nifty levels mentioned 2/15/18, 1:14 PM – Glen Drago: If anything else to do then will update 2/16/18, 9:10 AM – Glen Drago: Gm 2/16/18, 9:10 AM – Glen Drago: Stbt trade Nifty sell part 2 between 10660-10630 spot Nifty levels mentioned 2/16/18, 10:49 AM – Glen Drago: Nifty has been consolidating for the past few days along expected lines. Many of the analyst and fund managers believe that the worst for the Indian market is done and now we will be seeing fast trending move on the upside and some are even suggesting that post this correction we are now heading for targets of 13500 and so on but we do not see such a thing on the charts. If we see carefully and purely from an analytical stand point Nifty has been moving in a range of 10650-10276 post the sharp fall that took place from the higher side area of 11117 and has been struggling around the 0.382 area of the fall. Not only in terms of price but also in terms of time we see that the fall has been much more faster than the time taken for retracement. When we mean struggling we mean that pullbacks have come but none of the pullbacks have shown any of the characteristics of a wave that is heading higher in a hurry and that has resulted into price and time consolidation for now. As per our analysis we see that the current ongoing consolidation is nearing its end and we expect sharp down move to resume in the form of main trend. The main trend is down and the current move is nothing but mere consolidation of the fall and as we have been mentioning from time to time that the greater the consolidation the sharper the next round of fall will be. From an astro cycle perspective there are few very important events coming up next week which do have a correlation to sharp sudden moves and that could be the trigger for sharp downside to take place in the market. In the coming round of down move we expect many traders who have been averaging their net long positions to be stopped out very quickly because the fall is expected to be sharp very similar in nature to that of the fall seen from the higher side area of 11117 and in the current down move we do expect to see lower side panic to set in among traders and investors so when the panic is around max that is the time when the current wave or rather the first round of the next fall will come to a temporary halt but that does not imply that the down move has ended. Many of you have been calling me and asking me till where we see this current fall? also many of you have been asking me that where and when we expect the current pullback to end? I do not expect any upside to sustain from now onwards and further as far as targets for this down move is concerned I will update that in detail as to when and where to cover and till where we do see this down wave coming. Bottom line is that we do not expect the markets to continue their current phase of consolidation for much more time and we expect the main trend to resume. Just keep a watch on the bond yields for the next few days. 2/16/18, 10:49 AM – Glen Drago: Nifty Hold 4 Parts positional shorts as told 2/16/18, 10:50 AM – Glen Drago: Nifty Hold 1 Part STBT shorts as told 2/16/18, 10:50 AM – Glen Drago: will keep updating if anything needs to be done 2/16/18, 11:28 AM – Glen Drago: Move could initially be gradual and then we could start seeing accelerated fall later. As of now I don’t have confirmation that the down move has started or rather the main trend has resumed however as mentioned based on wave and Astro indicators we expect the fall to begin and any upside now is not expected to sustain 2/16/18, 2:10 PM – Glen Drago: If anything to do will update 2/16/18, 2:10 PM – Glen Drago: As of now just hold positions as told 2/16/18, 2:10 PM – Glen Drago: Will keep updating 2/16/18, 2:38 PM – Glen Drago: Nifty is moving lower perfectly along expected lines. Please keep in mind that there could be some minor volatility not that it will happen but if it does then also its perfectly permissible under the wave counts and the astro cycles that we are estimating it to be. As we have discussed in the morning we do not feel that up side rally or pullback will not sustain so just hold positions as what we have guided. Nifty continue holding 4 parts positional shorts and Nifty hold 1 part STBT Trade short as told 2/16/18, 2:45 PM – Glen Drago: Crude Oil has over the past few weeks corrected and since past 3 trading days has given a bounce back now the next 2-3 trading days are very critical for crude oil if crude oil remains higher for the next 2-3 trading days then we could see sharp upside in crude oil. There are many parameters that need to be seen this is just one of the important factors to watch out for. We will keep updating as and when we see anything has to be done.
Good Trading To You!