Nifty Consolidation Could Start - Rakesh Chandra

I had asked to wait for 2 more days to let the momentum cool off. So the next two days a red closing has happened on cue. Now what? Has the momentum has cooled off completley (trading below 4550 only) or is there still some upside left (above 4600)?

The car can go off some more distance even if the engine stops unless brakes are applied. Newton second law of motion states that a body tries to main its current state unless an external force acts on it. Here the external force is chaos i.e. new information.

Below 4450, further downside would be on cards. On an EOD basis Nifty is forming an extracting triangle. The expanding triangle is said to be a good indicator of a reversal pattern, and is usually analyzed when a price has been increasing to see if a decrease is likely to occur - also called broadening top and broadening formation.

With stoploss 4,553 buy above 4,599.08 next week with up target >4,673 >>4,793.
With stoploss 4,599 short below 4,553.42 next week with lower target >4,480 >>4,360 >>>4,286.

Option player can sell 4800 call option on rise and collect the premium.

Nifty 3rd Wave Extension In Progress - Rakesh Chandra

In the Nifty EOD chart, Nifty is following an extended 3rd upwave. The possible target of this wave is 4800.

It will take 2-3 days more for the momentum to cool off and then a 4th down consolidation wave will progress. On the upper side, we need to be cautious and must take protection for longs. Profit booking on longs looks highly attractive although the market has not yet given a sell signal.
In the coming days volatility would increase.

The trading level is as follows:
Buy Nifty future with 4,647 stoploss buy Nifty future 4,663.89 for next day up target>4,692 >> 4,737 >>>4,765.

With stoploss 4,664 short Nifty future below 4,646.61 with lower target >4,619 >>4,573 >>>4,545.

Midcap Buzz - Rakesh Chandra

BUY THES STOCK WITH PREVIOUS DAY STOLSS
TARGET PERIOD VERY SHORT TERM
sonataster above 13.75> 17
spicetele above 76 will go 84
starpaper above 30 >35 >41
sunil hitec..above 154> 180
xproindia above 24 > 28

Short-term Midcap Buzz - Rakesh Chandra

Watch these stock for short-term upside with last day's low as stoploss

AFL ALEMBIC ARROWTEX ASIANHOTEL AVENTIS

CAMBRIDGE

DATAMATICS

EIHOTEL ENIL

GLORY GODFRYPHLP GOKUL GRABALALK

HINDNATGLS
IOLN

STERLINGBIO SRHHLINDST SELMCL SAKSOFT

C Down Wave Starts in Nifty Future - Rakesh Chandra

The market has taken support from A and went up to B high in 2 days . The 3rd is a reversal day and as expected a C down wave is on the cards. The length of the C wave will be more than A wave.

Please note that we are in a bull market correction so avoid shorting on the lower side. The strategy should be to cover on the lower side and sell on the higher side. The recovery will always come as this is the usual tendency of the corrective wave.

Overall there will be chaos as the market always discounts events. There is uncertaintiy on the political front and chances of a hung parliament. Each day a new statement is issued by political players.

With stop loss 3,642 short Nifty Future below 3,628.06 for next day lower target >3,605 >>3,567 >>>3,544.

The 4th Wave is Progressing - Rakesh Chandra

The market has behaved in a way human mass psychology does.
In the last report we said to wait for next 2 days, the market movement wouldl cool off and bears would be the winners. Yesterday was just as we expected.

Now this is is the 3rd-day consecutive decline. In the near-term this support area looks like an A wave. We would again see some upside as B wave and then again C down wave. This would be the termination of the 4th corrective wave.

With stoploss 3,637 short below 3,601.99 for lower target >3,545>>3,452>>>3,395. In the last report we had advised to take 3500 put or sell 3750 call option.

Singh Will Not be King - Rakesh Chandra

Mercury is back on May 17-18. On the day of the election results, Manmohan Singh will be out and a new PM will be on the cards.

You would remember that on July 22, 2008 I had mentioned that Singh would win the vote of confidence and will be king.

This time the same planets are against Singh.

Is Singh King? Let us see...tare kya bolte hai.

Nifty In Extended Third Wave Area - Rakesh Chandra

On an EOD basis we are progressing towards end of extended 3rd up wave. This is called 5th of 3rd wave. It is a war zone for the bulls and bears, and the bears will be the winner. It requires 1-2 days more for the up momentum to cool off. Till this time, we will see sideways movement. Since Nifty has already achieved all targets on a weekly basis, do not expect much upside.

Sell a higher call option of 3750 instead of naked shorting the future; alternatively buy a put and hold. If at some point we see more upside or if stay in range for 1-2 days then take 3500 put option. As a rule, convention says that shorting a future = selling a call option + buying a put option.

Stocks Update for May 4 - Rakesh Chandra

These stocks have technically corrected and are waiting for the upside.

XLTL, WWIL, WSTCSTPAPR, WOCKPHARMA WHEELS, ALOKTEXT,BANKINDIA, BARTRONICS, BHAGYNAGAR, NAHARSPING, GUJALKALI, HORIZONINF, D-LINK.

Nifty in Third Wave Extension - Rakesh Chandra

Nifty has formed an extended 3rd wave on the Daily chart. It should now go in to a 4th corrective wave formation (complex pattern formation), and then see a final 5th wave to the upside.

With stoploss 3,462 buy above 3,490.59 for weekly upside target of 3,536>>3,610>>>3,656.

With stoploss 3,491 short below 3,462.31 for weekly lower target of >3,417>>3,342>>>3,297.

Mercury is Back - Rakesh Chandra

The market has behaved in the same wayas we have pointed out in our last astro report. Last 2 weeks, bulls have had a field's day post March 12.

Now, March 31, Mercury is back with Sun, so a dip is on cards. This essentially means a buy on declines.

For next week, with 3,106 as Stoploss, buy above 3,148.37, for targets of 3,218 and 3,330.

With Stoploss 3,148, Short below 3,105.63 with lower target 3,036 and 2,924.

For S&P500, with stoploss 808 buy next week above 816.30 for target 829 and 851.

With stoploss 816, next week short below 808.20 with target 795 and 774.

Nifty Future Hourly 5th Wave Progressing - Rakesh Chandra

Market has behaved in the same way from last 3 weeks. Monday, market would be negatively biased due to the astro effect of of March 1-2, i.e. Mercury-Mars. On the hourly basis, the 5th down wave is progressing, and if trading obey the level strictly.

With stoploss 2,719 buy above 2,735.22 for weekly up target >2,762>>2,805>>>2,832.

With stoploss 2,735 next week short below 2,718.78 for weekly lower target >2,692>>2,649>>>2,622.

USDINR 4th Wave Progressing - Rakesh Chandra

Here we see the USDINR weekly chart analysis. All waves are leveling as clearly mentioned. The 4th downwave is progressing on weekly chart. Trading below 48.3 positional target will be 46. Otherwise it will remain in congestion.

Gold in Distribution Phase - Rakesh Chandra

Here is the Gold daily chart analysis. We are moving toward the 5th up wave on the daily chart. Currently 5 th up progression is on and we cannot deny some upside above (b) point. But it is doubtful so Gold is in a distribution phase.

With weekly stoplos 924, Buy above 932.01 for weekly target 945>>966>>>979.

With stoploss 932 Short below 923.95 for weekly lower target 911>>890>>>877.

The Bad Planets are Coming Back - Rakesh Chandra

The planets are coming back. From Feb 10-March 12, all planets are in bad shape and the bear salsa will be back. Watch these days for astrology effect.

11-12FEB>>Sun-Neptune
16-17-18>>Mars-Jupiter
23-24 >>Jupiter-Mercury
1-2 MARCH >>Mercury-Mars
7-8 MARCH>> Mars-Neptune
12 MARCH>>Sun-Uranus.

Nifty Future Update for February 2 - Rakesh Chandra

With stoploss 2,857 buy above 2,881.39, with next week up target 2,922>>2,986>>>3,027.

With stoploss 2,881 short below 2,856.61, with next week lower target 2,816>>2,752>>>2,711.

Option players may sell 2700 put and sell 3000 calls and hold for time decay gains.

Nifty Future for Week January 26-30 - Rakesh Chandra

In the Nifty future weekly chart review, we are currently in the 4th upwave and a strictly symmetrical triangle formation. Within the triangle the legs a-b-c-d are over, and we now expect e upwave. We are thus interested in a long postion .

Buy Nifty future with stoploss 2,645, above 2,677.06. Next week's up target is 2,729>>2,813>>>2,865.

Short Nifty future with stoploss 2,677, below 2,644.94. Next week's lower target is 2,593>>2,509>>>2,457.

Astro Effect of Saturn-Sun-Venus - Rakesh Chandra

Watch astro effects - high volatility high on cards. As usual bears enjoy these days.
21 -22 Jan: Saturn and Sun effect.
29-30 Jan: Saturn and Venus effect.

Nifty Future for Week January 19-23 - Rakesh Chandra

With stoploss 2,804 buy Nifty future above 2,827.69 for a weekly target of next up target >2,866>>2,927.

With stoploss 2,828 sell future below 2,804.31 a weekly lower target 2,766>>2,705>>>2,667.

Nifty Future for January 16 - Rakesh Chandra

Let us go through the Nifty hourly chart, a view based on Elliot wave theory. So far, all the wave coutning has been proper mentioned. Now the 5th down is on card. The day range for 5th wave is as follows.

With Stoploss 2,826, short below 2,816.09 for next week's lower target >2,800>>2,774>>>2,758;

With Stoploss 2,831 short below 2,810.89 for next week's lower target >2,778>>2,725>>>2,692.