Well I may be sounding a little orthodox here but i have off late started believing in the power of 9 for the nifty.
The index is pegged to take a very strong support at 4500 because if it doesn't than we will be heading towards 4200 which i feel is as extreme a possibility as 6600 was in Jan'08.
6300 was expected because that level was more than 50 % of the 200 DMA and we hit that level for a brief moment and it proved to be the strongest resistance.Ideally the correction would be 30% of 6300 which is around 4410 but my gut feel is 4500, after observing the 3rd major correction happening since i have been in the market.
If Nifty sustains and consolidates around 4500 then we should be able to find a lot of good buying opportunities and the nifty will take us to around 5400 and consolidate there, before the next bull run starts. I presume we will be able to reach 5400 by June/July'08.
I don't know about the next bull frenzy but when it starts be wary of 7200.
Just Some Food For Thought For the Weekend.
Happy Holi !!!!!!!!
The index is pegged to take a very strong support at 4500 because if it doesn't than we will be heading towards 4200 which i feel is as extreme a possibility as 6600 was in Jan'08.
6300 was expected because that level was more than 50 % of the 200 DMA and we hit that level for a brief moment and it proved to be the strongest resistance.Ideally the correction would be 30% of 6300 which is around 4410 but my gut feel is 4500, after observing the 3rd major correction happening since i have been in the market.
If Nifty sustains and consolidates around 4500 then we should be able to find a lot of good buying opportunities and the nifty will take us to around 5400 and consolidate there, before the next bull run starts. I presume we will be able to reach 5400 by June/July'08.
I don't know about the next bull frenzy but when it starts be wary of 7200.
Just Some Food For Thought For the Weekend.
Happy Holi !!!!!!!!