FREAK FRIDAY AGAIN

There was a FREAK FRIDAY on 20th April 2012 similar to last FRIDAY, the 5th October 2012. On 20th April, 2012 at 2.30 p.m Nifty futures plunged 350 points from 5350 to 5000 while Nifty index was trading at 5325 levels(please refer post dated 22-4-2012)and Nifty low on that day was 5245. At that time it was written that "What ever may be the cause, we may be knowing it once the inquiry the NSE/SEBI is conducting is over." But, nothing was heard from NSE/SEBI till this day. Yesterday(5-10-12) at 9.51 a.m instead of Nifty futures Nifty Index itself tanked 900 points within just 2 minutes - see the table above to know the low and low percentage of 31 index stocks - on which Nifty index tanked 15.55% and Nifty hit lower circuit. Nifty and Nifty futures ranges were 5815 -> 4888 and 5855 -> 5732 respectively. It was later informed by NSE that a flash trade of 59 orders worth Rupees 650 crores entered from a brokers terminal was the cause of it and trading resumed after 15 minutes. The mere thought that any FII or large broker can drag Nifty 900 points (after shorting futures & buying puts) by placing an order for just Rupees 650 crores and amass a huge profit within 2 minutes is spine chilling. Then who will safe guard poor retailers ? Confidence is clearly lost on authorities who never full fill their promises (why they are unable to prevent such a thing after 20-4-12 freak trade in Nifty futures ?).

After the FREAK FRIDAY on 20th April, 2012 Nifty futures touched the low of that day ie. 5000 on 7th May 2012 and further moved down to 4770 on 4th June 2012. It may be noted that that freak trade was occurred just before alignment of Sun and planets in the proximity of Rahu-Ketu (refer May 2012 Grahanila post). Now also the freak trade ocurred before such an alignment in November 2012 (refer June 2012 Grahanila post) and it seems yesterdays low may be an indication of Nifty's target in coming months. It may also be noted that during the period 2005 - 2008 Nifty had many lower circuit breaks and after 2009 upper circuit break (UPA's election victory) there wasn't any till yesterday (Even though NSE approves the day's low of 4888, it does not concede that lower circuit was hit. Reasoning for that is only known to them). So anticipate a lower circuit break within two months. Don't panic, be ready to face it.