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Bounce Continues or Bears Strikes Again???


Yesterday Nifty drifted below its Weekly support 10791 in the opening hours, but later of the day it recovered from lows to above support level , closed near 10844.
In daily scale, position of the green candlestick not so strong formation. Huge Call writing was done in strike price of 10900 and 11000. Put writing not so visible much. Options data suggesting that 10900-10940 going to be stiff resistance and nifty likely to trade between 10640-10900 zone.
Traders need to be noted that, 'daily trading range' of the nifty widened and high volatility in market, results in 150-200 points range in intraday.
10820 crucial support for nifty for intraday, below this level, Bears strikes again and takes nifty lower. Keep an eye on this level.
As long as nifty trades below 10950-11000 levels, Every bounce faces selling pressure.
Resistance 10940-11000.
Support 10790.
Regards,
Suryadev Bandari
Research Analyst.

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Market in Bear control

NIfty moved exactly as forecast in last update.
Yesterday Bulls failed to hold 10850 support level and nifty closed well below that level.
Today, In opening also Bulls failed to hold opening gap up.
Most preffered wave count suggesting that IRREGULAR TRIANGLE completed and Impulsive down move has started. Next downside level to watch is 10750.
Market in Sell on Rise Mode.
10875 first resistance and 10975 strong resistance.
Minor support 10750.
Regards,
Suryadev Bandari
Research Analyst
www.earningwave.com

Exhaustion gap formed. Bulls strength eroded???.

Nifty bounced back strongly on back of Major news announcement of Cut in Corporate Tax on Friday. Today nifty retraced 61.8% of entire fall.
As of Now, wave 2 in finishing stages.
 More possibility for Wave 3 down to begin any time soon.
Hence, Be cautious. Its time to reduce long positions. Profit booking time.
From current levels, nifty likely to retest 11000 levels anytime. Short term top made.
New highs may not be possible from here. Keep booking profits in long positions.
Wave 3 Impulsive Down move can begin any time.
Regards,
Suryadev Bandari
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www.earningwave.com