Monday, November 10, 2008

The 2 PM Review

Monday markets are trending - up. This is no surprise since the intermeidate trend has been up for two weeks. Last week saw a correction in this up trend when the Nifty fell from 3240 to 2900. This should be considered as a 'healthy' correction.

The primary trend is down. We are in a bear market. This suggests that the intermediate up trend should face resistance around 3300, and then around 3500. I would expect 3300 to be significant resistance.

If you are long today (and, you should be !) then the position or part of the position can easily be carried overnight. More in the evening.

Have Fun!

5 comments:

B M Kajaria said...

last week you told that this may turn into a bull run and wait till 11th november to confirm it.

Please Elaborate your detailed opinion on the current market Position for us to understand the present market trend

Thanks for the real guidance you give online

BISWAJIT said...

DEAR SIR,
AT THE VERY OUTSET LET ME INTRODUCE MYSELF AS A LEARNER OF TECHNICAL ANALYSIS.I HAPPEN TO COME ACROSS YOUR COMMENTS AND IDEA THRU' MONEYCONTROL WEBSITE AND CNBCTV18.YOUR HONEST CONFESSION UNLIKE OTHER SO CALLED ANALYSTS HAVE IMPRESSED ME AS WELL AS SURPRISED ME.I THANK YOU FOR YOUR HONESTY.
IN THIS CONTEXT I WOULD LIKE TO POINT OUT REGARDING William O’Neil, developer of the CANSLIM investing method AS REFERRED BY YOU DTD.31.10.08 IN WHICH YOU MENTIONED ABOUT THE STARTING OF THE BULL MARKET.TODAY BEING THE NINTH TRADING DAY AND HAD MORE THAN 3% RALLY - SO SHOULD WE CONSIDER IT TO BE THAT INFLECTION POINT?
SOMBISWA

BISWAJIT said...

dear sir,
hope i shall get your timely reply.
sombiswa

STOCKJOCKY said...

sir if posbl do visit my blog http://stockjocky.blogspot.com/ read this you may find some relavance

SUPPOSE you(market) get ill, so doctor(Government) gives you medicine(relief package) to get better and tell you to take it regularly and rest, u take first dose, second dose, goes on but untill you complete your intire cycle you cant be perfect fit.... when you take first dose you think i am now quite alright and start running like this market but untill you complet your intire phase you will fail again and again and get worst... i hope i may wrong comparing market with human.....

rajivhtc said...

namaskar sukhani ji,

your last comment was- "The market is now behaving like a casino. This is worrying ! Such volatility is usually a sign of impending disaster. I hope I am wrong."

now i got scared and did not participate in today's rally as i thought of some kind of impending disaster facing us even when the market was going up.....

so i misunderstood you and also the market. now for people like me who missed the bus today, what should be the strategy.

the only way i am long is with the portfolio made at higher levels and if i sell it then i lose money even in this rally.

sir i would be grateful if you please take out time to guide traders/investors like me who seem to be missing the right opportunities due to lack of proper understanding of the market.

regards
rajiv malik