As I said last week, market was looking very dangerous. I was apalled at some bullish views coming in from various forums and blogs I frequent. To me it was clear that something dangerous was brewing and lot of small players will get caught on the wrong foot again. I sincerely hope that some of my readers took precautions with what they read here and did not go long yet.
Well as mentioned in my earlier update, I was looking for possible reversal points. I kept adding shorts as we went higher because it was clear that there was a buyers strike and bad things would come soon. Yesterday the market confirmed that with a strong rejection at the 2830 resistance/pivot area. Now back at support...2630 should break today giving way to the 2520 support area. I think this also will break sooner than later and we should go on to test earlier lows and new lows. Dec mid timeframe is where I will be looking for some sort of turn - This is also a bradley turn date. We will see when we get there. Till then enjoy the fall and these charts with comments on them.
Also my sincere wishes and prayers are with all involved in the nasty incident in Mumbai. I dont want to say anything more here but that I am really saddened by several things...The violence, the ineptness of our security forces and above all our politicians and media. Sickening to say the least. I will continue to hope for better times for India as a whole...Will it ever come?
Best.
1 comment:
Agree with you Lee, that something nasty is about to happen. The way some of the big boys like Reliance and Sbi are behaving, it gives me the jitters. The Bank Nifty looks ready to croak at any moment.
A few of the Bse sectors (Bse Infra, Auto, Bankex, CDS, CGS, IT, Midcap ) have already closed below their Oct low closes. Nifty Junior has almost thrown in the towel. Think its a matter of time before Nifty follows suit and goes down.
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