I've attached possible EW counts for Nifty. It seem's that there may be some more steam left in the budget rally. Buy for higher targets of 5050/ 5150 with a SL at 48...
Saturday, 27 February 2010
Friday, 26 February 2010
In balance, the budget was a good budget. I say it was a good budget for the following reasons.1. The relaxing of the Income Tax slabs was a very welcome move. It puts in more money in the hand of the common man. More money means more expenditure. This will increase demands for goods and services.2. No change in the Service Tax at 10 pc. This is welcome because the increase to 12 pc would have hit the common man. There should be other ways of generating revenue.3. No tinkering with the Capital Gains structure. The new Direct Tax code and GST roll...
Tuesday, 23 February 2010
Friday, 19 February 2010
It was a rangebound week with markets trading in a band of 150 points. The only folks who made money this week were the option writers. Lets see what the next week brings for us.Fundamentals:1. The REC IPO will suck out money from the Domestic institutions.The Domestic institutions were sellers the past 2 days.2. The FED in a surprise move increased the Discount rate by 25 points. The rate at which member banks may borrow short term funds directly...
Monday, 15 February 2010
The market continues to remain choppy. Nifty continues to trade in a narrow range and finds support within the pink channel. This is our positive scenario until the support is violated (support exists at 4750). We continue to face stiff resistance at 4835.IIP numbers were great (17%) -but the upmove wasn't strong enough to take out 4835 on a closing basis. Volumes continue to diminish, indicating lack luster.Nifty will continue to remain choppy...
Friday, 12 February 2010
The short-term bleeding seemed to be taking a break this week. Lets see what are the factors both fundamentally and technically which will drive our markets next week.Fundamentals:1. IIP Data of 16.8% can lead to a gap up on Monday. The government needs positive news as the IPO of REC is lined up to open on Friday Feb 19th. 4500 crores are going to be sucked out of the market.2. The US is shut on Monday, so no global news flow on Tuesday. In Feb,...
Sunday, 7 February 2010
Nifty - A relief rally this week..? This week we may see a brief rally upto 4800 / 4850 / 4900 / 4950 (trade in the pink channel). We may see upmoves within this channel upto levels mentioned above. Trend can reverse if the pink channel is broken -ve on a closing basis. The overall trend remains bearish until 5185 is taken out and Nifty trades above this level for over 3 days. 10 day RSI is trading within a wedge. We may see RSI move to 45 / 50...
Saturday, 6 February 2010
The Markets had a roller coaster ride last week. It has now become a sell on rallies kind of market. There are several reasons for this. Lets try and go through them. We will try and have a fundamental and technical look at the reasons.1. The FIIs have been relentlessly selling. One of the reasons for the rise from march'09 was the FII money pumped in. The month of Feb already, they have sold Rs 2500 crores and for this year, almost 9500 crores from...
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