iCharts Discussions

[shashangan]

Present Nifty spot price - 4139 (14:00 hrs Friday 27th 2008)

The mkt as expected has broken down & also broken many hearts. My level 4160-55 which i mentioned in my previous post for long did give a reasonable strong bounce, but since the world mkt sentiment, oil & inflation devil still making its nightmarish rounds is keeping the mkt at bay. Anyway i am just doing a small revision to my previous post.

At this juncture, I would like to make a brave contradicting forecast, surely could be a relief to read for all exhausted investors & longs in the mkt. But Kindly keep in mind this is only my personal view, i could be wrong.

Personally I feel the mkt is nearing a short term bottom for a good pull back. I expect 4040 & 4002 as the max low on the downside according to spot Nifty if it further goes down. I have started to long mini from 4130 (spot basis) & will do scale down buying if it dips further. The minimum upside target i expect could be around 4360-80 followed by the next possible target 4530-55. The next whole week could possibly be a zig zag struggle towards this upper target 4550 area.

Look for intra day possible speed breakers near resistances around 4225, 4300, 4450, 4530-35(good resistance) area

I recommend to keep reducing most of your longs above 4500 spot nifty basis if it gets there & reverse to short from 4550 area. There will be one more steep fall to follow after this correction to near 3950. The overall down trend is still intact.

Again i mention this is my personal view, kindly check with me before you enter. The mkt trend can move on lot of other sentiments, political crisis, oil, asian mkt sentiment which is not in our hands. Kindly keep caution. i could be wrong. Do very small scale buying or Play mini, if you dont want to risk or stay out.

Good luck,
Gautham Shashangan