Hello Friends,
While going through the threads in traderji today, I came across a small argument regarding the fact---whether Nifty indices/Futures can be manipulated or not---
Well ---I feel --there may exist a very valid point in the manipulation of Nifty---though a bulk manupulation of the index is virtually impossible---
Now whether Manipulation exists or not---the debate can go forever---More over --the trading community(including myself) r hardly interested in the growth of our country's economy ---for we hardly have a vision to gauge the development of our country through a mirror like image of the growth of the stkmarket---
Thus from a Trader's point of view (as well as a rational human being)I think --It will be a very interesting subject---to see---if we can really trap these manipulations to a relatively maximum point of accuracy---so that common people can also become the gainers---Moreover if Manipulators find that Common people r gaining more than them---they may fairly decrease this event , if not stop them(A dream for the time being may be---but then Dreamers only give rise to ideas)---
Now how can we really disect this problem ---I m trying to visualise---I m sure more knowledgables will take part soon in this thread---and a reasonably good outcome will definetely turn out---
(A Special care for this thread is pointed for Amit and Kartick---for u rightly have pointed it out that people like to have more interest in having Tips---rather than analysing them and having Maximum probablity of safe return---So if u can do ur reserch on this topic--it will be a highly satisfying option)
Coming to the problem scenerio---(As per my opinion),we proceed with a few practical assumptions/realities:
1) The CNXNIFTY comprises of a specific no of stocks--having different weitages on diff stks as specified by their SPAN margins---
2) The diff Stocks fall in different industrial sectors
3) The entire index manipulation is virtually impossible
4)FIIs play a key role at present in the Movement of NIFTY FUTURES
5)The FIIs do not always indulge themselves in Market manipulations--They have their partners(bulls) of the local market who r ready to dance in their tunes
6) FIIs always hedge their positions---
7)An abnormal rise in an index/non index stock is invariably followed by its corresponding correction during the alternate half of the monthly cycle --considering the near month positions
8)Open interest in the Nifty positions seems to be a key factor in determination of the trends---
Any more points friends----Seniors/Knowledgables Plz do contribute with an open mind---
Regards,
joy_mitali
While going through the threads in traderji today, I came across a small argument regarding the fact---whether Nifty indices/Futures can be manipulated or not---
Well ---I feel --there may exist a very valid point in the manipulation of Nifty---though a bulk manupulation of the index is virtually impossible---
Now whether Manipulation exists or not---the debate can go forever---More over --the trading community(including myself) r hardly interested in the growth of our country's economy ---for we hardly have a vision to gauge the development of our country through a mirror like image of the growth of the stkmarket---
Thus from a Trader's point of view (as well as a rational human being)I think --It will be a very interesting subject---to see---if we can really trap these manipulations to a relatively maximum point of accuracy---so that common people can also become the gainers---Moreover if Manipulators find that Common people r gaining more than them---they may fairly decrease this event , if not stop them(A dream for the time being may be---but then Dreamers only give rise to ideas)---
Now how can we really disect this problem ---I m trying to visualise---I m sure more knowledgables will take part soon in this thread---and a reasonably good outcome will definetely turn out---
(A Special care for this thread is pointed for Amit and Kartick---for u rightly have pointed it out that people like to have more interest in having Tips---rather than analysing them and having Maximum probablity of safe return---So if u can do ur reserch on this topic--it will be a highly satisfying option)
Coming to the problem scenerio---(As per my opinion),we proceed with a few practical assumptions/realities:
1) The CNXNIFTY comprises of a specific no of stocks--having different weitages on diff stks as specified by their SPAN margins---
2) The diff Stocks fall in different industrial sectors
3) The entire index manipulation is virtually impossible
4)FIIs play a key role at present in the Movement of NIFTY FUTURES
5)The FIIs do not always indulge themselves in Market manipulations--They have their partners(bulls) of the local market who r ready to dance in their tunes
6) FIIs always hedge their positions---
7)An abnormal rise in an index/non index stock is invariably followed by its corresponding correction during the alternate half of the monthly cycle --considering the near month positions
8)Open interest in the Nifty positions seems to be a key factor in determination of the trends---
Any more points friends----Seniors/Knowledgables Plz do contribute with an open mind---
Regards,
joy_mitali