In technical analysis the first leasson all we learned is -
" The market will beat every one".
Today the Nifty and Banknifty opened gap down and fell again sharply down and broken the trend line and was traded in a positional selling levels.The banknifty touched a days low of 10496 and nifty touched 5632.There were so many people sold and waiting to cover further down the banknifty from it 10530 level shoot up to 10909 level non stop in less than 10 mins time!!! No one knows/expected why this 400 points raise in short span of time.We may consider this as a gampling or market manipulation...really dont know how to name it!!
Many calls i have recived and many traders told me they put SL 50-150 points away but for many of them it did'n t triggered.What one can do at this situation!!.All the pre-market view that was failed today.Once in a while the market make us to realise the market is higher/greater then all of us.The market nature is such one can not learn all leasons in one day or few years...it is infact a ongoing/un-ending learning process those who has higher patiance and emotional maturity only can stay cool and win.The first thing we need to have is to 'accept the market as it is'.
The banknifty today lastly traded in 10834.In our view today the market shown so many running gaps on its way while moving up.This gap will be filled in the coming days as per the theory of 'Island Of Reversal'. Mainly the 600 -740 level it has to fill.The tomorrow is being a week end we expect profit booking comes in 10800-870 level.The nifty future were today many times traded in discount and in the pull back everthing changed and market totally changed it colours.Any way tomorrow if the market open above 10840 level it sustain well and become strong and below 10780 it can go down upto 630/580 level.At present we still not able to do the due-diligence why this up in few mins.
We wish all trader do trading safely with SL.Do not panic...if you panic you will miss the market pulse.