Nifty for 08 Mar 07

These are my personal musings. These are not in any way meant to be trading advise. To view the full chart, right click and open in a new window.

As was suggested, we see a rise in the Index stocks, as a result of which, we see the Index rising. On the other hand, we do not see a convincing rise in the second rung stocks. Even the volumes of the index stocks are not as convincing as it should be in a trend reversal. It could mean that we are in the last leg of this bull run. The smaller players may not be convinced with this rise, and after a 800 to 1000 points, would start scrambling to get into the bull run, only to be left holding the baby at the next top.

The short term trend is confirmed as up. This uptrend has all the indications of a correction to the upside of the huge fall we have witnessed in the last two weeks. It really does not matter which phase of the market we are in, as long as we are able to capture the significant moves.

It seems from a lot of comments that my earlier calculation of a cycle in time on 9th February, has raised a lot of queries. Please appreciate that this is only a probable projection. Let us watch how the market approaches this cycle in time. If we do witness some significant event, we could make a judgement. As of now, since we had a change of trend on a few days before 9 Feb, we may see a short term top on 9, rather than a peak.

And as we know the market is a dynamic arena. We have to constantly keep adjusting to it. With the fresh information into the “computer” we get cycles in time on 15, 21 and 31 March.

And as I am fond of saying, trade happy.