Thought for the day
"Fear is the passion
of slaves."
— Patrick Henry (American, 1736-1799)
Word for the day
Reify (v)
To convert into or
regard as a concrete thing. E.g., to reify a concept.
(Source: Dictionary.com)
Malice towards none
Youth in Congress Party must take one week break to study
the history of the Party and contemplate if they need to change the path they
have been trading since past one decade!
First random thought this morning
Unicorns and Black Swans have joined Bulls and Bears to make life
of the market participants more interesting.
We are lucky to witness the figments of imagination acquiring some
tangible contours at a time when inclination to deny the realty as unwarranted
paranoia is very high.
Nifty: Expect a stopover on the way to 7K
As I have been expecting since August 2015, when Nifty completed
bearish H&S pattern on monthly charts, Nifty is progressing well to test
its long term rising channel support around 7000 levels.
In my view, this channel support may hold good, and Nifty should
form a strong bottom in 6850-7350 range in next three months and begin the next
leg of the up move that should see Nifty rising to the next peak of 10900-11300
in next 28-36months.
The premise should hold good even if Nifty falls to 6430-6750
range for 2-3weeks and bounces back to 6850-7130 range in next 10weeks.
However, in the least likely situation of Nifty closing below 6850 by March
2016, the scaling of mount 10k could be delayed by another 8months, i.e., 36-44
months.
Besides, Nifty is deeply oversold on short term momentum indicators. So a brief relief rally could be expected this week.
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