Markets in BUBBLE ZONE?

[sudoku1]

yes milind, you are right. his views not clear. below 18975 what happens?

will again repeat.....
first the set up.....
uptrend starts : 21 AUG@ 13989 CLOSE.
entry generated :24AUG @14425 CLOSE.
current status :HOLD.
trend rev :CLOSE BELOW 18975.
now this is the orignal technical setup by bulls which remains validated even 2day....
now 2 ur confusion.....what if sensex closes below this level????
2 possibilities.....xpect further sharper falls due 2 f&o unwinding by injured bulls.....or
if....the sensex does not sustain below this level for couple of days....bulls might again attempt to restore the derailed train....for this scenario...v will have a stop for bears also .....
these r just arrows in the dark...
for now ....18975 is very imp for bulls 2 remain in the game..

 

[rajeshn2007]

now 2 ur confusion.....what if sensex closes below this level????
2 possibilities.....xpect further sharper falls due 2 f&o unwinding by injured bulls.....or
if....the sensex does not sustain below this level for couple of days....bulls might again attempt to restore the derailed train....for this scenario...v will have a stop for bears also .....
these r just arrows in the dark...
for now ....18975 is very imp for bulls 2 remain in the game..

hi ,
ok. we will wait and watch

 

[kkseal]

16600-17000 looks likely now. 18800-18900 zone may offer some support, but looks feeble.

Regards,
Kalyan.

 

[MiLiNDOnline]

16600-17000 looks likely now. 18800-18900 zone may offer some support, but looks feeble.

Regards,
Kalyan.

Hi Kalyan,

Thanks for your views.

Lets wait.....

 

[chintan786]

looks are deceptive

chintan

 

[rajeshn2007]

Yes, 17000 possible

 

[MiLiNDOnline]

Yes, 17000 possible

Hi,

I think if 17K happens with the sensex then to me- there will be lot of buying will happen, as there are many many ppls waiting with cash in hand..

Also as traditionally- Feb March brings lots of funds from Insurance and MF companies inthe market, so I do think for these big guys it will be a very good time to enter with 1000's of crores in the market when sensex is flat.

And moreover- If we see certain good stock picks in last week or so the prices came down so drastically like we have 5000 Fall already. Stocks to pick would be RIL, RNRL, RPL, GMR Infra and so on...

I do believe that once the rally will begin these will shoot up again.

If anyone would like to give their views, please.

Thanks.

 

[uasish]

rajeshn2007,

By your 1st post in this thread you have tried to make us cautious & now it is found your uneasiness was correct,thks for the same.
Now we are trying to figure out a Number or Price zone upto where it may slide.Why are we trying to do this,are we holding Short on Index or is this excercise is ment to re-enter Longs.
All the scrips if we are holding Long/Short each has a defined Stop & we all know that there may not be a high correlation of those stocks with Index .
If we want to initiate a Long basing on TA then each individual chart will guide us,not directly linked with Index (except a high correlation).
Hence by pre assigning a Fig we will mostly be 'Predicting'.This 17k or 16k or 19k will brew complacency,becoz then we have a mental block,which will restrict us to enter or liquidate until that LANDMARK is reached ,rather if we look at the chart vigilantly the Mkt itself will tell us when it is bottoming.
Normaly always the Higher time frame chart can guide us better for a change of Major Trend reversal,now a specific directional trend is enforced so any slight flutter in the smaller time frame
is not necessarily a change or reversal of the Major trend,we scalpers can benifit from that flutter but not a swing trader.

Asish

 

[MiLiNDOnline]

Hi Ashish,

Thanks for your views.

Regards!

rajeshn2007,

By your 1st post in this thread you have tried to make us cautious & now it is found your uneasiness was correct,thks for the same.
Now we are trying to figure out a Number or Price zone upto where it may slide.Why are we trying to do this,are we holding Short on Index or is this excercise is ment to re-enter Longs.
All the scrips if we are holding Long/Short each has a defined Stop & we all know that there may not be a high correlation of those stocks with Index .
If we want to initiate a Long basing on TA then each individual chart will guide us,not directly linked with Index (except a high correlation).
Hence by pre assigning a Fig we will mostly be 'Predicting'.This 17k or 16k or 19k will brew complacency,becoz then we have a mental block,which will restrict us to enter or liquidate until that LANDMARK is reached ,rather if we look at the chart vigilantly the Mkt itself will tell us when it is bottoming.
Normaly always the Higher time frame chart can guide us better for a change of Major Trend reversal,now a specific directional trend is enforced so any slight flutter in the smaller time frame
is not necessarily a change or reversal of the Major trend,we scalpers can benifit from that flutter but not a swing trader.

Asish

 

[rajeshn2007]

hi ashish,

ok. now to TA.
sensex has a support at 18450, correspondingly nifty 5520.
a definite pullback from these levels will happen.
if these levels do not hold depending upon then world indices,
major support is at 17170 only (5000 in nifty), which was the low made on oct 22 '07.
so 17 k mentioned was not ambiguous number or prediction.
i just a gave a one-line reply to the prev post.

pl note, except sensex and shangai index , major world indices are trading below their 200 dma.

currently 18450 (5520) seems to be the bottom.