Is negative trend is going to start from 06 DEC or trapping bull move will be seen in our Indian market? At current situation if we consider on chart because I am a chartist, and chart speak every thing. Lots of long position would have been made by Indian traders today in expectation of FDI. 14 of 18 parties in parliament voted against FDI. Yet government won the match. Thats the power of M factor. Personally if you will ask me then I will say FDI is good for Indian economy. FDI in Retail may Benefit Farmers & Final Consumers & affect Middlemen. But in Turn it may help control supply shock Inflation. I Support it.
I have zero position in market now. I won't do fresh long position at current situation. Current put call ratio is at 1.07 still in positive zone and fresh long has been added today. It seems that to many position has been taken as a opportunity of FDI reaction. On the international market front all Asian indices was on fire but our market was on consolidation as i was expected and indicated you in my yesterday post. Fii sold 2723 contracts worth rs 83.84 cores and open interest increased by 9915, as nifty future was up by 16 points and fii sold position indicating that fii has booked profit on higher level. Nifty short term support has formed at 5855 level and I think this will work as a short term trend changer level. Nifty long term lower trend line is now at 5650, any break of this lower trend line will confirm that bull trend has completed it destination of 2012 and bear will take all revenge in 2013. Up side 5917 and 5927 will be trend confirmation point. Watch the trend on thursday if trade below 5885 then trade negative and if trade above 5927 then trade positive.
GOOD LUCK
HAPPY TRADING
