NIFTY have successfully navigated the uncertain tine window which was going on since 10-15,july.
As we discussed in above post,
technicaly we were looking for a trend reversal but the only condition for that was a break of pattern support which was at 23980 until yesterday and from today that support have shifted higher towards 24220 on spot.
So as long as this pattern is intact we should keep getting higher highs on NIFTY and dispite some mixed signals from TIME until these PRICE supports are held INDEX is not going to break on lower side,
no chance.
all other equations including some very important TIME factors wont come into play as long as vibration structure of PRICE stays ferm for NIFTY.
As an analyst our job would begin only when markets starts to turn lower below its supports.
As a trader it is an easy market which frankly needs no analysis.
things doesn’t goes on like this we all would agree on that.
there is a saturation point for everything in this world and equity markets around the world are reaching that point may be not today or tomorrow but somewhere during next 15 odd days we should be reaching there.
if markets fails to get periodic pullbacks then that would be quiet dangerous for all market participants because that can trigger unexpected 1 or 2 day sharp selloffs simillar to what we saw on 4th,june.
if positioning in futures markets continues to stay accesively bullish then such selloffs would continue to occur frequently and post every selloff we would see retail traders helpless and under deep sorrows just like we saw exactly 7 weeks back.
markets surely recovered from that incident but many traders have not!
for INDIAN MARKETS budget on next Tuesday is certainly a market moving event so better be careful with that.
this market only requires a small trigger to test and break its supports.
Now when it comes to U-S-INDICES things are not that great.
All INDICES are trading on their own world
People are calling it a rotation shift from tech to smallcaps but volumes does not support that argument.
We have seen markets going down with heavy volumes and when they went higher volumes were significantly lower.
still these things doesn’t matter as long as critical supports are held.
18000 for NASDAQ COMPOSITE and 5510 for s&p;500; are major vibration pattern supports.
everything would stay fine as long as these supports are held.
thats it for today.
gann,insides 