So we have an interesting week ahead.Will Nifty carry on improving? Or will she break down and seek levels lower than 7997?
Let us seek some answers, starting with Astro...
Aspects shown in the bottom half of the chart are negative and aspects shown at the top portion of the chart are positive. Negative aspects favour bottom formation. So the market should decline nearby these aspects and top ones favour short term tops, after which market tends to move down.
Pluto retrograde, Venus square Neptune, Mars and Mercury squaring Pluto and Sun trine Pluto---all favoured Nifty moving down to a bottom, last week and that is what she had done. Special mention must be made of Jupiter squaring Full Moon on May 04th and within two days, Nifty crashed heavily to 7997.
For the week beginning May 11, we find that both Venus and Mercury are entering extreme declination positions. Moreover they are also Out of bounds. This makes both of them very unstable and lead to increased volatility. Jupiter is in Aslesha, ruled by Mercury and so he also will be unstable.
On May 11th, Moon is in the 8th house at start of trading.It is in the sub of Venus,which is the 5th and 12th house lord, placed in the 12th. So Nifty may open tentatively lower but gain strength later on. When Moon moves to Mars star, Nifty should move up steadily.Upmove may continue for 2 or 3 days, after which Venus square Rahu and Ketu, along with Mars opposite Saturn should take over and Nifty may resume her down move, close to the weekend. It is significant that Moon will be in Revathi by then.Mercury in the 12th may cause some problems for Bulls.
Declination chart presents a picture which is self explanatory.
Gann Angles also suggest that May 14th or 15th could see a short term top..If Nifty does not manage to reach the higher slope line, then it could prove to be very bearish later on.
Our cycles present more or less a similar picture. Since we are in an inverted cycle, we have been expecting a short term top when the blue cycle hits the ground.So we may expect a short term top by around May 14/15.After which the more powerful red cycle takes over. Since this is firmly in the down trend and since Nifty is approaching the final phase of a turned down cycle, we may see significant price damage after the current up move tops out.
With consistent down ward pressure,Neo wave wise, we may consider wave e of the extracting triangle to be completed. So there is a good chance that the upmove from 5119, to 9119 may finally be over, as a complex corrective pattern.
To understand better,let us look at long term daily chart first....
We see very clearly that Nifty had fallen off from the 45 degree central line, quite decisively and has now taken support on the next parallel 45 degree line, shown as dotted line.It is following the path of the red arc downward as well.We have seen that it takes significant energy for Nifty to break through this red arc and move up.Every arc is an energy level.
When Nifty fell off from the central 45 degree line, it took support and reversed on the orange parallel line.
Similarly, if Nifty breaks the current dotted 45 deg parallel line, it may take support on a lower orange parallel line.
If it recovers from here with an energy burst, then the resistance is at 8627, as per angles.Right now, slippage to the lower orange line looks more probable.
Coming back to Neo wave, after wave e, we have seen an abc correction so far.Wave c may not be over yet. Low point of 7997 could be wave a of c and the current uptrend is wave b of b. So once this b of b is over, final c of c may start down.
This then is our current expectation.Cycles and astro also seem to agree.
Even simply channel techniques on Monthly indicate a down trend in force, despite the recent up move.
Current upmove could be persist till May 14 or 15. Then the down trend could resume to seek levels lower that 7997.
Again, again and again, these are all just expectations and assumptions. Putting money on the line must be done only when Nifty moves in the expected direction. Not before.
No trade is to be done expecting Greece issue to worsen or improve.GST bill or Land Bill passing is of no consequence to the trader who wants to make money.
How Nifty moves after such events is the only consideration. All what has been given above are just guidelines and are not infallible.
Enjoy your trading and let it be profitable!