Firstly Volatility and Finally Rally after Union Budget - 2014
Technical Analysis,Research & Weekly Outlook
Technical Analysis,Research & Weekly Outlook
(Jul 07 to Jul 11,2014)
Nifty-EOD Chart (04-Jul-2014):- |
| Just click on chart for its enlarged view |
1- Wave-III of Wave-3 beginning(5933.30 on 04-02-2014)
2- Wave-1(6869.85 on 25-04-2014)
3- Wave-2(6638.55 on 06-05-2014)
4- Wave-3 continuation with new highest formation at 7758 on 04-07-2014
Conclusions from EOD chart analysis
New all time high formation at 7758 on 04-07-2014 and further strong rally continuation is still expected because complete selling patterns are required minimum on EOD charts for any deeper correction and no such formation seen yet as well as Bullish Flag break out seen in previous week. we are not projecting such Bullish Outlook today but when Nifty was slipping down and correction was continued then also we predicted such strong rally in all 3 previous Weekly Outlooks and told following lines:-
1- We told on 30-06-2014 in Technical Analysis,Research & Weekly Outlook(Jun 30 to Jul 04,2014):- "finally rally will be seen above 16 sessions highest(7700) after follow up consolidations and on going correction completion as well as deeper correction will not be seen below 16 sessions lowest(7443)"
2- We told on 23-06-2014 in Bullish Flag formation in last 11 sessions correction:- "As Bullish Flag formation in last 11 sessions correction therefore expected that finally rally will be seen after on going correction completion and deeper correction will not be seen"
3- We told on 15-06-2014 in Sideways Market before Fresh Rally:- "finally rally will remain continued after follow up consolidations in next week"
Nifty-Intra Day Chart (04-Jul-2014):-
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| Just click on chart for its enlarged view |
1- Consolidation Patterns between 7721-7732
2- Sharp fall below 7700
3- Consolidation between 7662-7691
4- Strong recovery with lower levels consolidations
5- Whole day actual trading between 7662-7751
Conclusions from intra day chart analysis
Firstly sharp fall below 7700 and after that 96 points strong recovery from lower levels in last 3 hours and closing well above 7700 on 04-07-2014 but we predicted exactly same moves in all 3 Outlooks of 03-07-2014 and told following lines:-
1- At 01:18 PM on 03-07-2014 in Mid-session Outlook(03-07-2014):-"possibility of slipping below 7700."
2- At 03:13 PM on 03-07-2014 in Pre-closing Outlook(03-07-2014):-"possibility of slipping below 7700 can not be ruled out"
3- In Technical Analysis and Market Outlook(04-07-2014):- (i)"possibility of slipping below 7700 can not be ruled out"
(ii)"much deeper correction is not expected "
As was told 100% same happened and firstly Nifty slipped below 7700 but deeper correction was not seen and Nifty got support at 7661.30 as well as strong 96 points recovery with closing well above 7700 seen.
NIFTY-Jul CE(7900)-Buy-Positional-SL-49 &TGT-109-CMP-67
NIFTY-Jul Fut-Buy-Positional-SL-7644 & TGT-7784-CMP-7704(Lalit39)
As we were confirm that Nifty will recover strongly therefore we waited and when Nifty was trading near the higher levels of the day and NIFTY-Jul Fut target was achieved then we sent following profit Booking SMS to our paid clients at 03:18 PM:-
NIFTY Jul F&O(Bought on 04-07-2014)-Cover and book profit immediately-CMP Fut-7785/CMP CE-94(Lalit39)
As we always talk with those proofs which no one can deny therefore updating following picture of above SMS sent to our paid clients:-
1st Website Picture:-
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| Just click on above picture for enlarged view of those SMS which were sent to paid clients |
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| Just click on above picture for enlarged view of those SMS which were sent to paid clients |
1- Numbers of sent SMS.
2- SMS sending Website name.
Conclusions (After Putting All Studies Together)
Rally is very much on and no signal of its completion yet. Just click following topic link which was posted on 12-05-2014 and understand the calculations of on going rally:-
Bullish market Wave-iii of Wave-3 continuation towards those higher levels which can not be easily imagined at this moment because following minimum waves are still left:-
1- Wave-iii of Wave-3 continuation and no signal of its termination yet.
2- Corrective Wave-iv of Wave-3 will start after on going Wave completion and this corrective will correct whole that up move which started from 5933.30.
3- Impulsive Wave-v of Wave-3 will start after previous corrective wave completion and this Wave will form new high above the top of Wave-iii of Wave-3. It should also be kept in mind that Wave-iii of Wave-3 top formations confirmation has not been seen yet.
4- Wave-v of Wave-3 completion will mean termination of Wave-3 and corrective Wave-4 beginning.
5- Corrective Wave-4 will correct whole up moves which started from 5700.95.
6- Impulsive Wave-5 will start towards new top formation above the top of Wave-3.
Next week will be full of big events because Budget session will start from 7th July and volatility will remain high on following events:-
1- Rail Budget on 8th July
2- Economic survey on 9th July
3- Budget on 10th July
As Economic survey may present disappointing picture therefore 9th july may be a corrective day but firstly volatility and finally rally is expected after Union Budget on 10th July.