MARKETS FOR 23RD MARCH

THE WAY INDIAN MARKETS WERE MADE TO FALL ON THURSDAY, WAS A CLEAR INDICATION THAT A PERFECT TRAP WAS LAID ON WEDNESDAY TO MASSACRE THE BULLS BUY INDUCING THEM TO BUYING THROUGH THE DECEPTIVE RISE OF NEARLY 100 NIFTY POINTS ON WEDNESDAY. EVEN THURSDAYS  DECEPTIVE HIGH OF 5386 ABOVE THE WEDNESDAYS  HIGH OF 5373 WAS WELL ORCHESTRATED TO INDUCE A BULLISH FEELING TO TRAP THE BUYERS. THE MASSIVE RED CANDLE FORMED ON THURSDAY WITH THE HIGH AT 5386 AND LOW AT 5209 TO CLOSE AT 5214 VERY NEAR THE LOWEST POINT OF THE DAY, THAT TO LOWER THAN THE EARLIER CLOSING SUPPORT OF 5220 LOOKS DEVASTATING FOR INDIAN MARKETS & UNLESS SOME MIRACULOUS  BULLISH POWER IS BESTOWED ON THE BULLS TO PROTECT THE CRITICAL ZONE OF SPOT 5200 TO 5170, ONE SHOULD BE ABSOLUTELY SURE TO SEE NIFTY SLIDING MUCH FASTER TOWARDS THE MANY TIMES  EARLIER MENTIONED  50% RETRACEMENT LEVEL OF 5080 FOLLOWED BY 61.8% RETRACEMENT LEVEL OF 4949 EARLY NEXT WEEK.

IRRESPECTIVE OF THE FACT THAT A DECISIVE BREACH OF THE 5200 TO 5170 SPOT NIFTY ZONE WILL RENDER NIFTY WEAK FOR FURTHER FALLS, YET IT IN NO WAY WILL UNDERMINE THE BULLISH NATURE OF THE MARKETS. THE PRESENT DOWN SWING FROM THE SWING HIGH OF SPOT 5630 IS THE 2^ND CORRECTIVE WAVE TO THE MEGA BULL RISE OF 1100 POINTS OF 1^ST UP WAVE FROM THE LOWS OF 4531 TILL THE HIGHS OF 5630. THIS SECOND WAVE MOST LIKELY WILL RETRACE 50% TO AROUND 5080 OR 61.8% TO AROUND 4949 AFTER WHICH THE MEGA 3^RD  UP WAVE SHOULD RESUME. SO, EVERY FALL TOWARDS THE CRITICAL LEVELS OF 5171 FOLLOWED BY 5080 & FINALLY TO 4949 ARE REAL BUYING OPPORTUNITIES FOR LONG TERM INVESTORS FOR GREAT GAINS IN THE LONG TERM. HOWEVER SHORT TERM SWING TRADERS AS WELL AS INTRADAY TRADERS MAY CLOSE THE EYES AND TRADE SHORT ON DECLINE OF SPOT NIFTY BELOW 5171. EVEN THE BREACH OF SPOT 5181 WHICH IS THE CONJUNCTION POINT OF 200 & 89 EMAS, SHOULD BE THE INITIAL SIGNAL TO ADD MEGA SHORT POSITIONS FOR QUICK GAINS IN THE SHORT TERM.

FOR FRIDAYS TRADING, THE ASIAN MARKETS WHICH ON THURSDAY ENJOYED  THE LUXURY  OF GOING POSITIVE WHEN INDIAN MARKETS WERE BLEEDING, MAY FALL BADLY WHICH WILL HAVE AN INITIAL NEGATIVE INFLUENCE ON INDIAN MARKETS TO ADD SALT TO THE THURSDAYS INJURY. TAIWAN, KOREA, HONG KONG, CHINA  MAY FALL THE MOST. EVEN AUSTRALIA & SINGAPORE WILL BE MADE TO FALL TO SHARE SOME OF THE THURSDAY’S SORROWS OF INDIAN MARKETS. THE WEEKEND CONSIDERATION ALSO MAY COME INTO PLAY. LAST WEEK NIFTY SPOT HAD CLOSED AT 5317 AFTER MAKING 3^RD CONSECUTIVE WEEK OF NEGATIVE WEEKLY CLOSINGS & ONE MUST BE ABSOLUTELY SURE TO SEE NIFTY WILL MAKE IT THE 4^TH CONSECUTIVE WEEK OF NEGATIVE CLOSING ON FRIDAY 23^RD MARCH AS A FITTING REPLY TO THE 7 CONSECUTIVE OF WEEKLY RISE NIFTY HAD SEEN RECENTLY. THURSDAYS CLOSING AT SPOT 5214 HAS INJURED THE BULLS BADLY AS THE EARLIER CLOSING LOW OF 5220 HAS BEEN PUNCTURED. THIS LOW WAS MADE ON 7^TH MARCH WHEN NIFTY HAD MADE THE SWING LOW OF 5171. A CLOSE BELOW 5171 SPOT NIFTY WILL ENTIRELY PARALYZE THE BULLS FOR THE REMAINING DAYS OF MARCH OR TILL EXPIRY ON 29^TH MARCH.

FOR INTRADAY TRADING PURPOSE, NIFTY FUTURE WHICH STILL ENJOYS SOME  DECEPTIVE PREMIUM MAY SHED THE ENTIRE PREMIUM IN NEXT FEW DAYS AND ONE SHOULD NOT BE SURPRISE TO SEE NIFTY FUTURES GOING DISCOUNT TO SPOT NIFTY IN NEXT FEW DAYS. ON FRIDAY NIFTY FUTURE  HAS INITIAL SUPPORT AROUND 5220 FOLLOWED BY 5200 TO 5190. SLIDING BELOW 5190 MAY SEE MUCH BIGGER FALLS TOWARDS 5180 FOLLOWED BY 5165  & THEN 5151 FUTURE LEVELS. SIMILARLY ON THE HIGHER SIDE SOME MORE DECEPTIVE HOPE MAY BE GENERATED FOR THE BULLS IN CASE NIFTY FUTURE CROSSES AND MORE IMPORTANTLY SUSTAINS ABOVE 5252 TO 5260 LEVELS IN WHICH CASE  NIFTY FUTURES MAY MOVE UP TOWARDS 5270 FOLLOWED BY 5285 TO EYE FOR THE 5300 LEVELS THAT MAY GIVE A FACE SAVING WEEKLY CLOSE FOR NIFTY VERY NEAR TO LAST WEEKS FUTURE CLOSING LEVELS OF 5343  ALTHOUGH  VERY MUCH BELOW IT.