The Market Done Unexpected Twist Today

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.

The Money Power And The Peaks Of Gambling

Dear Traders/ Readers,

Last few days i have not posted ' The Pre-market Banknifty' view 's

...it is not because, Neither i was too busy nor to lazy.

.

To be honest with you, i am not keen in writing as the market is not bound to any technicalities.As it is driven by the vested intrest of the market operators world wide(Mainly by hedge funds) and a certain rapid surge of market made many retail investors/ Traders to cry. So what ever view i may give is going to be futile in its attempts . Considering this, I didn't post anything as it may be a simple assumption/intellectual stuff about the market and nothing helps you in the real market .

.

Today i happen to visit my other friends sites and happen to see these two intresting post's that exactly reflect my mind. i bring out here the same for your views too.

Picked up from some forum
WHAT IS MARKET ?

BSE = Bombay Se Exit

NSE = Nation Se Exit

F/O = Future Over

Nifty = No Income For This Year

FII = Fraud Int'l Investor

BTST = Buy Today Suicide Tomorrow

1.Who Is Driving The Rally?
The Kind of violent moves that we have witnessed has surprised everyone, this rally seems to have been driven my Hedge Funds. They are fuelling this rally worldwide with the help of cheap money i.e. near to zero interest rates but this kind of move is typical of impending sell-off because the last moves are always violent and creates the euphoria so much so that people are actually afraid to short the stocks. It requires the guts to call the top in such market because in such markets technicals, astro, everything fails, keep in mind these kind of moves happen only when the large reversal is looming, people are forced to buy high-priced stocks, media is manipulated.

Source:-http://marketsinandout.blogspot.com/

2.NIFTY FUTURE :
The rise in Nifty Futures seems to be a one way game - 650 points in 14 trading sessions (Avg run rate of 46 per day). This (possibly) last leg of the rise reminds me of Twenty20 cricket match where the last over is meant for hit out or get out. For the market students its the best practical example to experience what money power can do.
There is not much to say in these circumstances except that 6010 and 6075 can be resistance levels. But considering the US markets at the time of writing, be prepared for continuation of today's game. Will it continue this way for a long time - the answer is a definite NO. Either the buyers will have to rationalise their thinking as the market goes higher or there could be some event which forces the participants to revise their thinking. As such, new high on the first day of the week reaffirms my thinking that this week could provide a turning point as stated in my last weekly post.
As per the Turning Points Grid 5950 is the first level, below which weakness may start. However, in the current market mood it is better to be on the buy side and benefit from the rally or be a bystander and let the storm pass. I feel not doing anything at such irrational times is a safer and better option. If you recall, mood in the last weeks of 2007 was very similar. As such no market can go up/down continuously - this 14 day period itself seems to be overstretched to me.
Put Call Ratio of Index Options decreased to 1.11 as against 1.36 on the previous day.
Please do not trade without STOP LOSS.
With Best Wishes,
Ketan Asher.

source:-http://go2turningpoints.blogspot.com/

The Shocking Upmove...

The last thursday banknifty closed at 11388 and today it opened near 11470(Day low 440) and the trade was seen above 11520 and the SBI,ICICI,Axis and almost all banks shown a shocking high's and consistently shown strength and shot up to new high's. The Banknifty shown a day high of 11878 and the spot gone near 11900.The Sbi is nearly 150 points up.Icici bank neatly done its 1100 level. The today market surprised everone and i too happen to attend so many desperate calls from both the bulls &bears.The market up-move is a shallow rally or a choppy side ways ahead!!! .No one is authentic to say or predict this.Follow your own trading plan and trade as per your market expertise...do not fall into the trap of some one else.

.

Today Market really shook every one head and we are not excluded.We tired our best to sell at every peak thinking that that was the maximum and kept a SL all were hits and the banknifty fooled till the closing and no symptoms of weakness untill its closing. The nifty was finding difficult to cross over 5740 level and finally crossed all it barriers and now try to move to 5850+ without much hurdle. The 'Ew' 3rd wave is in act now...as per that it may move towards 6340 levels...The last few session there were not much weakness the market witnessed/indicated. The nifty fall below 5630 only can give hope for the bears...

.

.

The banknifty up move was really a thread to the bears. The bulls were also booked profits for their long so soon, as they were not expected this high nearly 400+ points in a single day. We gave a long call in Axis Bank and we asked our clients to book profit soon and once the profit was booked it went up by 20 points. The trend today was unexpected one and so much of speculation was seen. The Banks and the new policy around the world lifted the world markets and all are in green while writting this post.What are the causes for this unusual move is really unclear.if any one has got some grip kindly feel free to share with us.

.

Caution:-

The market will go to what levels is not sure and there were so many rumours that spread among the traders from both sides(Bears&Bulls) and the small trader really are really need to take care or avoid trading for few days.The SL if you place anywhere it is very certain the market will hit it...The market is in it eratic phase now.Thats why the nifty was struck in 100 points over few months was able to claim up 100+ points in intraday..The Rally or Correction time the market used to be very ferocious like an reall bull or bear.

Great Fall in Banknifty and Nifty future today

In my morning post, i wrote about the world cue's and its impact on our market.We sold our longs in 9240 level (opening)and gone fresh shorts and covered 50% @9008 and rest we carried as positional shorts.

The Banknifty nifty High today was-9243.00 and days low was 8950.05( high to low-293 points) We have done selling at high and coverd 50% in 9000.00 level and balance shorts are in hand and hope to gain the maximum gain in postional shorts.

The Global cues seems to be worsening day by day.The world market and many scripts around the world have came down to the new low's. for E.g- The British petroleum company came down so much and attained its 18years low today.

I also heard in mumbai some dealer sold 'Ril' instead of 'icici bank' and Ril came down to 840 level and booked huge loss about 1.5 crores (5lakhs share).This message i have recived in my chat messages.

Anyhow play safe in all your trade.The market is just like playing with fire if you do not know how to handle it!! it may burn your fingers.

Nifty broken all its support levels and the market may slide further down on the coming sessions.

What drives the market?

The Market is actully driven not just by the Technical/traders ...The sentiments and rumours are very much vital and that many time changes the direction of the ongoing market..The Statebank is going to merge all its associate companies.This is what the actual news came out and that drove the whole scenario of the market.

.

Today morning opening onwards, the market was struggulling to move up...in 9540.00 level and certainly it shoot up to 9600 + levels and there on to the day peak of 9736.00.The day low was 9500.00.(Low to high is > 236 points).

..

I don't know how many traders were caught in the hold of the devil and lost huge money today !!...i feel really sorry for them. i am sure many would have...During the closing why the market fell from the peak 9710.00 to 9560.00 level ...that too it happened less than 20 minutes..? What kind of weakness is seen certainly in the market?

.

As i used to say,...as if some one who holds the consoles of the market and push the button here and there as per the mood or whatever..and the market instantly raise upto 200 +points and fall down to 200- points..No logic is'n it ? ..This is what the spirit of the ultimate gambling.