NIFTY Updates..Aug 29, 2008

Expiry of August closed at month's low with decent rollovers. NIFTY sep is trading at a premium. However, the overall trend is down. Market is unable to decisively break 4400 levels for sometime now. This will be a stoploss (closing basis) for all shorts. Though market is looking weak, the stochastics indicate a slightly oversold condition on daily charts. Though, this doesn't mean market cant go down any further, its a signal to be cautious on shorts as well. I am sure you must be confused at this post today, one on hand I say its weak, stay short and other hand I say stochastics are oversold so careful in shorts. Well thats how its playing out now. Its dicey. 4200 - 4150 levels needs to be broken decisively for shorts to party. Till then hold shorts patiently, I think we will break down if not today at least next week. (Keep stoploss intact).

Market not looking good...Aug 28, 2008

Market is not at all looking good. Though its been sideways for long now, the signs are quite bad. We may have 1 - 2 up days due to expiry effect. But overall trend is very bad. I would advise not to trade long in this market. We may have a good correction very soon...a big one too...I'll try and post targets over the weekend.

Updates...Aug 22, 2008

Not been able to update blog regularly this week due to some constraints. Wanted to leave a quick note here a lot of people were asking where market is headed. Market is not looking good as of now. Gold and crude are rising back up again. If 4150 does not hold in market, we may retest this year lows or even make one more low.....I will try to post a more detailed view next week. I hope you all enjoyed shorting from 4600 levels. We are now almost at my said target of 4200. Cover shorts once and then wait for direction to initiate trade again.

Market update...Aug 14, 2008

Wedge got broken yesterday. Unable to post a chart here. Now 4500 is key level on downside. Yesterday mkt managed to stay above it. Once breaks slide will be faster. Before that a move above 4600 is also possible.

Will wedge be broken today? Aug 13, 2008

NIFTY yesterday took support at the lower trendline of the rising wedge. Today, there is a possibility that we may break down from the wedge which gives us a first target around 4400. Hold shorts...n ride the trend...

Market update Aug 12, 2008

No major change from yesterday's views. We are still within the rising wedge. Use highs to short NIFTY (positional). Best place to short will be around 4700. (will we get there???)

Rising wedge on charts...Aug 11, 2008

NIFTY is forming a rising wedge (bearish pattern) on hourly charts with a likely target of around 4200. We may open gap up today. Resistance will come at 4600 - 4630 levels . It will be interesting to see if market touches 4700 levels or perhaps even 4800 in the coming days before a good fall. For now, be cautious on all upmoves and keep a close eye on the wedge. The moment the wedge is broken, expect good correction.