#MarketUpdate - Inside Bar.... What if BJP loses 2019 elections... #BigBull explains

Hi all,

It's ideally a Status Quo for markets as it tightly held, the levels posted yesterday.

But in that bargain, it has given an Inside bar pattern (today's high low within yesterday's range)

Hence, the levels of 10730-40 on the lower side and 10840-70 on the higher side becomes very crucial for markets going forward and will decide the future course of the markets...

Let's forget that for a while and enjoy the weekend till Monday...

Wishing you all a nice weekend....

Till then, just sharing a What's App forward.... It's excerpts from the latest chat with the #BigBull Rakesh Jhunjhunwala where he talks about his expectations of 2019 General elections and what happens if BJP is not voted back to power....

A must watch...

Happy weekend

Cheers

Hrishi....

#MArketUpdate - So far, so Good ! ! !

As they say.....

All is well, that Ends well....

Today as well, Nifty opened gaped up by almost 70 points showing a lot of strength from bulls, and the markets traded almost in the range of 60 points till 2.30. 

Though, bears showed  their presence, for a very small period of less than an hour, Bulls managed to pull the prices fairly up again....

As mentioned in the earlier post, Nifty exactly took resistance in the zone of 10810-10870 (multiple barriers, 78.6% retracement, gap down openings and Supertrend on daily charts) and now it becomes crucial to surpass this level, before bears get charged up....

Even though for little time, bears showed there presence hence the next up move can only start above 10840-10870 levels. There was nothing seriously bearish on intra day chart yet, but tone can look for intra day shorts with strict stop loss above the resistances.Traders can watch out for these numbers.

Crucial levels to watch out for -

Supports - 10740-10700-10620-10550-10480-10430-10300-10100-10000-9950-9700
Resistance - 10750-10820-10860-10950-11050-11170

Cheers

Hrishi

#MarketUpdate - Abhi hum Zinda hai... ! ! !

Update 5.50 PM 12th December 2018 - Just got the news about consumer inflation being eased to 2.22% , almost by 100 basis points (1%), Today's upsurge could be on account of that.. be cautious tomorrow.....

Cheers

Hi....

Today's post heading is a famous Bollywood dialogue of Firoz Khan from the comic movie "Welcome", and somehow it suits perfectly to the current political and markets scenario. The actors speaking this dialogue would be Congress and Bulls of Dalal street.... Lol

On the political front, yesterday Congress proved their strength by winning the Assembly Election battle with BJP by stunning margin of 3-0 (Rajasthan, Chhattisgarh and almost certainly Madhya Pradesh). This can be a vital development, especially when we are near to the General LS elections of April-May 2019 and the fact that it is a focal point for all the opposition parties which are against the BJP.

On Dalal Street, on 2 consecutive days bulls showed their power by giving a movement of more than 400 points from the bottom of 10330 yesterday.

As we expected in yesterday's post, after surpassing 10600 mark, Nifty today zoomed up and crossed the target of 10700.

Nifty created a high today of 10752, which is above the downward gap between 5th and 6th December 2018, on daily charts which is a good thing, ideally it should close above the 10750 mark though.

Also, Nifty crossed and closed above 10710-10720 levels, a 61.8% mark of the recent fall (from 10940 - 10330) which is another healthy sign. Hereon, markets should sustain these levels and need to comfortably surpass 10810-10820 mark, which is the 78.2% retracement and becomes very crucial to to pull the prices down from there. Also, 10810 to 10870 mark is very crucial zone as daily Supertrend is near 10860 and there are multiple gap downs on daily charts, which will act as a resistance on a closing basis

In order to stop the bulls juggernaut, bears need to restrict bulls before the above mentioned hurdles

Crucial levels to watch out for -

Supports - 10620-10550-10480-10430-10300-10100-10000-9950-9700
Resistance - 10750-10820-10860-10950-11050-11170

Cheers

Hrishi

#MarketUpdate - Buy the Rumour, sell the Fact.....! ! !

Hi All,

Though there was a nail biting fight going on between Congress and BJP to form a government in Madhya Pradesh (almosgt clear that Congress will form it now), and the same will be cleared by today or in few days in case there is a hung assembly, that is not at all a case for markets today.

It is almost visible, at least for today, that the ongoing events (including unpredictable resignation of the RBI governor) were seemed to be discounted in the recent fall from 10940 to 10330, which yet again proves that "Buy the rumour, sell the fact" analogy works and is dependable to an extent.

However, let us not be hasty and jump the rope to call this as the short term trend reversal.

Today, Nifty recovered sharply from the lows near supports of 10330, and managed to close at 10550, near to the day's high of 10567, which is a sign of relief, at least temporary, to the bulls. Also, Nifty has created a Hammer like pattern on weekly charts, though not a valid one as it is not at the end of a daily down trend, but still a buying pressure candle coupled with a strong Bullish engulf pattern on Daily charts

Next few days are going to be very crucial for Nifty with 10300 - 10000 - 9700 levels being the crucial supports, whereas 10600-10700-10950-11100 are important hurdles going up.

A close above 10480 is surely encouraging for bulls at least for near term (based on RENKO Charts), however it is is a huge responsibility of bulls to sustain markets above 10480-10530 levels on a closing basis.

10480 is very crucial as per RENKO daily charts, a monthly trend line near that area and it's a 20 month SMA.... (Please find the monthly candlestick chart below)

As there is a hidden RSI divergence (an opposite of regular divergence and a an effective one) on monthly charts, I personally feel change in the midium term sentiment is possible only above 11050-11100 levels for Nifty, till then.... It's advantage Bears.....

As mentioned, let's wait for some confirmations before executing a trade, till then, advice is to trade with strict stop loss and targets with proper risk reward....

Cheers

Hrishi

#MarketUpdate - Nothing seems to be right... Look Left.... #Technicals

Update end of the day - Please refer the next post