Monday, October 27, 2008

Near bottom - "no moon" effect - above Agni level

After breaking the Panchamam (old) band (2899), Nandi's downward target for Nifty was Shadjam(1984) or at least 2050 (mid point). Today (27th Oct 08) Nifty touched Chatusruti Rishabham (old) level at 2253 and bounced back to close at 2524. Tomorrow being an Amavasi(no-moon day)a trend reversal was expected and it happed today. Nandi does not think Nifty has bottomed out to day at 2253. It may be a temporary bottom for a few days and expect the breach of the same in next round. If it does not happen, well and good; Nandi does not have any dissatisfaction over it. But he observes that Nifty's up move from 2003 Shadjam at 992, 2005 Shadjam at 1984 and 2007 Shadjam at 3968 were started in the months of April-May. Hence there is ample time for a retest of the low formed today. As the Nifty closing is at 2524 it is now above the Agni level at 2472 and indicates a buy. But remember to exit all longs when ever Nifty touches Agni level again.


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