Astrotechnicals for Oct 19 to 23 2020

Our observations last week...

 "Nifty has moved up straight for the last ten days  as seen in the chart above and a sub cycle top may form this week. In other words, after some more up move this week, a pull back looks likely.

It is now a buy on dips kind of market.

We are in the Central Time Zone of retrograde Mars squaring Saturn Pluto and Jupiter. We are currently going through Mars squaring Pluto and the next would be Mars squaring Jupiter on October 19th. 

Between October 14th to 19th Sun also will square these three giants.. Jupiter , Pluto and Saturn. 

Things could turn choppy and Topsy turvy in the next two weeks.

Caution is surely indicated."

Nifty opened the week at 11973, Moved sideways and up till 12025 before declining to 11667 and closing the week at 11762.As expected selling had emerged at the 12000+ levels.

Sub cycle top now looks confirmed. Nifty now seeks to form a cycle bottom. Likely levels are mentioned in the chart. 11618 is the first and most crucial level.11450 is a 61.8 % retracement level.

Retro Mars completes its triple square to Saturn, Pluto and Jupiter by October 19th.Sun also does the same. Now Venus takes over the trining job involving these three giants between Oct 19 to 26th.Since all these signatures suggest a crest formation, we might see further downsides this week, astrologically,

Bank Nifty also looks to fall to the 20 and 50 SMAs, this week. Good results from some of the Banks notwithstanding,BN looks to go down lower.

End of the week or early next week may see a bottom formation.

Our heartiest Navarathri Wishes to one and all! 

October 12 to 16 2020

 

Nifty had ended the previous week on October 01, at 11416 with a bull candle.

This was our expectation. "Up move had achieved the 61.8% retracement and also has crossed above the 50 SMA. Both these are tell tale signs of market reaching mature levels.

We look for a reversal between the current closing of 11416 and 11557 ( 76.4% levels ), This view is invalid beyond 11618.  Market is supreme and so will wait for market move of confirmation or non confirmation."

Nifty opened at 11487 on October 05 and proceeded to continuously go higher and close the week on October 09 at 11914, after hitting an intraday high of 11938. In the process, Nifty had comfortably taken out the the previous cycle highs of 11618 and 11794.With this Nifty had overcome the bearishness seen in the last two sub cycles. However, Nifty has moved up straight for the last ten days  as seen in the chart above and a sub cycle top may form this week. In other words, after some more up move this week, a pull back looks likely.

It is now a buy on dips kind of market.

In this long term chart, we can see that 12103 to 12433 is the reversal zone for Nifty. This means the zone is less than 200 points away. So the correction may happen after Nifty reaches this range. Anyhow, it is prudent to be cautious with long positions. And also it is not yet time to open shorts.

Current sub cycle is the first in the new series of cycles. It is yet to take out the previous top of 25232. Already ten days of up move has been completed in the current sub cycle. Candles have closed just above the 200 SMA. Unless the candles open with a strong gap, this 200 SMA is likely to provide some resistance. The other Moving Averages are at a  distance. So be cautious with longs.

We are in the Central Time Zone of retrograde Mars squaring Saturn Pluto and Jupiter. We are currently going through Mars squaring Pluto and the next would be Mars squaring Jupiter on October 19th. 

Between October 14th to 19th Sun also will square these three giants.. Jupiter , Pluto and Saturn. 

Things could turn choppy and topsy turvy in the next two weeks.

Caution is surely indicated.

October 05 to October 09 2020

 Last week we had expected Nifty to make a final pull back target between 11410 and 11460.Nifty closed the truncated previous week at 11416.

Let us look a little closer...

 Nifty formed a significant cycle low on September 24. So we shift the end of previous cycle to September 24. It was also 23.6% Fibo retracement of the move  from March 23 bottom to August 31 top.

Previous bearish sub cycle between September 09 and September 24 had moved up for five days before turning down.

This sub cycle also had moved up for five days so far. So we can conclude that this uptrend is nearing maturity.

The current up-move did not terminate below 11173.Instead it strongly moved up to 11416. So the next down move when it come may not be very destructive but may consume more time..

Up move had achieved the 61.8% retracement and also has crossed above the 50 SMA. Both these are tell tale signs of market reaching mature levels.

We look for a reversal between the current closing of 11416 and 11557 ( 76.4% levels ), This view is Market is supreme and so will wait for market move of confirmation or non confirmation.

Nifty Long term;

Price control area as shown by black arrows had been a support area in 2016 to 2019 and now  acting as a resistance.

Price has moved below the uptrending value area and is now forming a new price control.

Bank Nifty has strongly moved up, beyond previous cycle bottom and is poised to move up to 22700.

Price has reached the 20  & 50 SMA and all of them are below 200 SMA. We continue to be bearish on this index.

Bank Nifty has slipped out of the value zone considerably and is in the process of forming a new value area zone.

Our Astro views of last week hold good this week as well.