This is a question which nobody likes to ask ---- Where are the 4000-4400 Nifty Analysts Hiding ?? !!!
The human mind and a trader is always inclined towards the bullish side. So analysts generally like to give major down move targets !!! Why is it SO ---- Psychology of a Human Mind.
Say if somebody shouts the House is on Fire and if it is he will be hailed as a saviour and a Hero. Suppose there is no fire people would just laugh it of as a scared fellow.
Same thing happens in Market. Mr XYZ calls for 25k at 20k is not cursed for his opinion but if he shouts 12k 6k and 0k whenever he will get right markets will hail him as a GURU 🙂 ............
So getting back to the point
Sensex Technical View :
Although my view was clear ever since the last 2-3 weeks about 16700-17000 being seen on upside and 15500 holding up irrespective of Market Consensus has finally been proved RIGHT. Check all our previous posts
Look into some market buzz and view which i posted on February 9th !!! --
Ajanta Pharma may see another move above 150 taking it to 180.
Thinksoft might be soon dumped to the retailers .... A major avoid !!
Shorts would be trapped at 4500-4700 and index would zoom to 5050 by March 2nd week as per punters !
Here we are at 17k Sensex.
Technically the markets should face resistance at 61% retracement around 17000 and 5075 Nifty. If market is able to cruise above 17200 and 5120 it could be a pleasant surprise as markets could then look towards the Higher end of the Channel also. We will look into the scenario in the weekend when i would be posting a very detailed presentation Sensex Technical Analysis and View for next few months.
About the channel posted above---- I was so obsessed about the technical level of 15500 that i just did not look into the classic parallel channel which came exactly around 15650. Markets have taken support exactly at that level which is a very positive signal. Ideally the Market shapes towards a range of 16000-18000 in this case and every dip to 16500 or lower becomes a buy again.
But as part of discipline ---------- BOOK PROFITS / REDUCE EXPOSURE /INCREASE CASH ---------------------
WHY - Because we had suggested to average or keep buying on declines !!! Its disciplined trading which makes more money in the market.
Technical Analysis Training Session planned for South India --- Coimbatore or Chennai ----- Interested people please mail to firstname.lastname@example.org