On weekly charts, markets have broken recent swing lows and also formed lower swing highs.
This is the first time it has happened since the breakout from 6300 levels.
This means there is a good chance the rally from 6300 levels is getting corrected.
For a confirmation look for break of 8000 levels... once this happens expect a fast drop to 7000 levels (2-3 months or less).
You can consider a short trade (options, futures etc) as long as you do not risk more than 1-2% of your capital. Also, trade on confirmation and not in anticipation.
If you are an investor, watch for the region of 6300-7000 - this will be an excellent area to invest in good quality stocks.
There is no change in my long term target for nifty i.e. 25,000 in next 5-6 years.
This is the first time it has happened since the breakout from 6300 levels.
This means there is a good chance the rally from 6300 levels is getting corrected.
For a confirmation look for break of 8000 levels... once this happens expect a fast drop to 7000 levels (2-3 months or less).
You can consider a short trade (options, futures etc) as long as you do not risk more than 1-2% of your capital. Also, trade on confirmation and not in anticipation.
If you are an investor, watch for the region of 6300-7000 - this will be an excellent area to invest in good quality stocks.
There is no change in my long term target for nifty i.e. 25,000 in next 5-6 years.
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