Preparing for the settlement day, and thereafter :
I cannot attach charts, because I need to delete some existing ones. So, everyone may PLEASE check one’s own charts for the following :
The Dow charts looks great. The Bollinger Bands [BB] have contracted and have again moved well inside the Keltner Bands [KB] . The candle for yesterday 28th Oct has even crossed over the 10 days EMA line and has closed above it.
Barring unforeseen circumstances, the candle is expected to move… first completely above the 10 days EMA line, and then start shifting towards the upper BB & KB …. That is when, once again, the BB shall start widening and come out of KBs.
And what is the scenario on the Nifty chart?
There is no move so far from the BBs to change their course and start contracting to get within the KBs. Fine. But that is the move, which we could now anticipate. That is why, one may not be required to be afraid of the markets going below the current levels in the immediate future. My opinion and I could be wrong.
I also anticipate a change in the Forex trading of US $ to INR, and the Rupee should now start strengthening against the US $….. but in reality, the inflow of US $ is expected to start that shall be responsible for the fall in value of US $ against INR.
When shall this happen? God Knows. Usually, the US follows the calendar year for Tax purposes, and based on the Tax scenario for individual FII/FDI that this inflow shall get resulted. It is very likely that the major portion may come in after 31st Dec.
By then, possibly one or more market cycles would have taken place in Indian Stock markets.
As for the other markets, the Nikkei and Hang Seng have the candle positions exactly similar to Nifty, when one considers the BBs and KBs with respect to the 10 Days EMA. So, the change may take place world over simultaneously.
And a good indicator for all this shall be the US $ to INR conversion rate.
My opinion, and I could be wrong, and may please be corrected appropriately
Cheers!
SS
I cannot attach charts, because I need to delete some existing ones. So, everyone may PLEASE check one’s own charts for the following :
The Dow charts looks great. The Bollinger Bands [BB] have contracted and have again moved well inside the Keltner Bands [KB] . The candle for yesterday 28th Oct has even crossed over the 10 days EMA line and has closed above it.
Barring unforeseen circumstances, the candle is expected to move… first completely above the 10 days EMA line, and then start shifting towards the upper BB & KB …. That is when, once again, the BB shall start widening and come out of KBs.
And what is the scenario on the Nifty chart?
There is no move so far from the BBs to change their course and start contracting to get within the KBs. Fine. But that is the move, which we could now anticipate. That is why, one may not be required to be afraid of the markets going below the current levels in the immediate future. My opinion and I could be wrong.
I also anticipate a change in the Forex trading of US $ to INR, and the Rupee should now start strengthening against the US $….. but in reality, the inflow of US $ is expected to start that shall be responsible for the fall in value of US $ against INR.
When shall this happen? God Knows. Usually, the US follows the calendar year for Tax purposes, and based on the Tax scenario for individual FII/FDI that this inflow shall get resulted. It is very likely that the major portion may come in after 31st Dec.
By then, possibly one or more market cycles would have taken place in Indian Stock markets.
As for the other markets, the Nikkei and Hang Seng have the candle positions exactly similar to Nifty, when one considers the BBs and KBs with respect to the 10 Days EMA. So, the change may take place world over simultaneously.
And a good indicator for all this shall be the US $ to INR conversion rate.
My opinion, and I could be wrong, and may please be corrected appropriately
Cheers!
SS
