nifty for june

Nifty for June will be as follows. If nifty crosses 5110 then go long with stop loss the same. Else if nifty falls below 5050 then go short with stop loss the same. As per option buildup the nifty swing for June will be 5100 up side to 4800 down side expecting to touch both ends.

Nifty took support at 4850 and bounced up and this will rally up to 5030-5100 before completion of settlement. No major bulishness before nifty crosses 5200. Wait for shorting the market once again.

to rise further

Nifty based on previous day's late recovery and closing at higher level shows that the rise will continue further. Nifty future Open interest added 7+ lakh means long build up. Nifty target will be 5340 initially. Global cues are also strongly bullish.  Important point here to observe is that our FM also gave a statement giving strength to bullish view.
Contra view: IF nifty could not cross 5238 and falls then the upper more may not happen. This may be due to the Inflation figure that is to be released on Friday and triggers major correction linked with week end factor.

range bound !!!

Now that markets cooled off from the previous days huge jump. FII data, F&O data, option writing are showing  that there may not be a big rise now itself.  Global markets are also of the same type.

Nifty may be in the same range in the week 5100-5300.

Spectacular jump

Nifty jumped hugely along with all world indices because of Greece bail out package. This is against to the F&O position buildup. FII data shows shorts covering, F&O data nifty showing short covering reducing the open interest hugely.  Options writing as usual (very high put writing and call covering). However, we may not see continuation rally today. But this rise if crossed 20 day ema 5230 and further nifty has to touch 5424 in future before a big correction.

Nifty if closes above 5230 go further long with a stop loss 5200 target 5400.

weekly review

Now that markets corrected in this week. Nifty touched and bounced one support line. But, as seen from the open interest build up and FII activity and global environment the recovery may not happen immediately though it will be on intraday basis.

Wait for the level of 4865 or two days trading for a bounce. But the run towards yearly high may not be confirmed until nifty crosses 5250.

short term or medium term correction? wait for 4865 breakout

Nifty in this series continues its downward journey and still the situation is weak. Global cues are still weak. It is anticipated further weakness in the coming sessions. Will this lead to short term correction or medium term fall the support at nifty 4865 will say. Wait and watch.

Till then stay in shorts with stop loss nifty 5130.

Market direction

Now, on the first day in the May settlement markets traded up and nifty closed at 5278. But nifty future was in discount means weakness is building in the market.

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   Global cues are negative.
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   FII data is not negative.
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  Nifty futures added with discount means weakness (initially up to testing of 5166 level in first week?)
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   Heavy writing at 5200 put shows that markets have to take support at this level. If this is so with in one week we may see markets to touch 5500 this month.

Opinion: Short nifty below 5160 target 4980 and wait for the markets to test support at this level. Then go long target 5500. Stop loss for shorts will be 5280 it self.