Nifty for 30 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.

With Friday’s close, we have reached a significant cycle in time, which we have been referring to in my earlier posts. It certainly will be interesting to see how the Nifty reacts at this time cycle.

My anticipation is that Friday or Monday could show us a short term bottom, and we may see the up trend resuming hereafter. This uptrend may well continue till the middle of April with small dips, or course.

News driven events do have a significant short term effect. However, it is my feeling that the rate hike was already anticipated and could have already been discounted by the market. That could explain the 1000 point fall in the Bank Nifty in the last month or so.

As these are speculative conclusions, we must keep this information at the back of our minds and follow the collective wisdom of the market. And the collective market seems to be reflecting the trend to be up.

Plan and trade happy.