- U.S Markets closed significantly higher yesterday.
- Right now Dow futures are lower.
- SGX nifty is lower.
- Yesterday it was a pleasant surprise for the Bulls.
- Nifty was trading violently between 15200 and 15400.
- This range held upto Friday and Monday.
- Yesterday as soon as this range got broken on the higher side , there was a big rally.
- The rally was so severe that Nifty even tested 15700.
- More than 400 points short covering rally.
- In Bear market the rallies are even more fast & furious.
- These rallies do not last long and get punctured eventually.
- Infosys ADR was up 5% Yesterday.
- Yesterday there was big addition of Open interest in Put options.
- There was big unwinding in Call options.
- What next from here is the big question.
- Now the range has shifted to 15400 & 15700.
- Why 15400 because Nifty broke out of 2 days consolidation from this level.
- Why 15700 because Nifty faced resistance near this zone yesterday.
- This is a market where you shouldn't pre-empt much and just follow what it shows.
- We are not out of the Woods yet and such short covering Rallies should provide an opportunity to sell in longer term.
- March 2020 the Bull Market started and lasted till October 2021.
- It's about 18 months.
- My Experience shows Bear markets last a bit longer than Bull Markets.
- So time to stay cautious.
- Nifty might Trade between 15400 to 15700 today.
- stockmarketadvisory.in
1. U.S Markets closed lower on Friday. 2. Dow Jones was flat. 3. Nasdaq was the underperformer. 4. Gift Nifty is down 30-40 Points. 5. Asian markets are mostly lower as well. 6. Friday the Nifty opened with a gap down of 200 points. 7. Within the next 10 minutes , Nifty recovered 100 points. 8. Bulls expected recovery is on the cards but Nifty started to Crack. 9. Bank Nifty was holding up Nifty for most of the while. 10. It couldn't be able to provide much of a support and Bank nifty also began to correct. 11. The issue now is market has had vertical rallies. 12. One way quick rallies so now the downfall will also be vertical. 13. When markets go up quick , they come down quicker. 14. Infy dragged the mood and also HUL didn't post extraordinary results so it was also a laggard. 15. Banks tried hard to hold the markets but couldn't. 16. Over the weekend , AU Bank and icici bank reported very good numbers. 17. These banks have already rallied a lot before results
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