Hi!
The Crude prices have reached their recent low around US $ 111 per barrel. The level of US $ 108 per barrel may now act as a support to stop the downslide in crude prices, as this level is at 50% retracement from the low of around US $ 70 on 22nd Aug 07 to he recent high of around US $ 147. But subsequently, the downslide may continue to complete the 61.8% retracement at around US $ 99 per barrel. Interestingly, on 7th April this year, there was a gap-up opening, and as the gap is yet to be filled, this level of US $ 99 should work as a very strong support. It is very likely that from this point onwards, the crude prices may start moving upwards once again.... but it is only a probability as seen now.
On 12th Aug 08, the Spot Nifty reached its recent high around 4650. Considering the up move of the US markets to end the last week that the Indian markets may open upwards on Monday. Every upward move of the market could be used to short in F&O as the probability of the market moving downwards again is very strong.
The ultimate target for Spot Nifty, in my opinion, still lies around 3235-3300 region, but I could be wrong. One has to note that I am talking about the ultimate target, and not for tomorrow or next week or next month. Again in all the probabilities, that this target for Nifty may be reached in the last week of Oct 2008, that coincides with Diwali.
That is when the markets may turn Investor friendly, and one must look ahead now to choose the scrips of ones own choice and also to keep the cash ready, so that once the markets bottom out, that one could start investing, as the Bull market is expected to get back on track.
One can then starting hoping for the best Diwali in recent times, to change the mood from the Bear market back to Bull market. This is a what I call a wishful thinking.
Cheers!
SS
The Crude prices have reached their recent low around US $ 111 per barrel. The level of US $ 108 per barrel may now act as a support to stop the downslide in crude prices, as this level is at 50% retracement from the low of around US $ 70 on 22nd Aug 07 to he recent high of around US $ 147. But subsequently, the downslide may continue to complete the 61.8% retracement at around US $ 99 per barrel. Interestingly, on 7th April this year, there was a gap-up opening, and as the gap is yet to be filled, this level of US $ 99 should work as a very strong support. It is very likely that from this point onwards, the crude prices may start moving upwards once again.... but it is only a probability as seen now.
On 12th Aug 08, the Spot Nifty reached its recent high around 4650. Considering the up move of the US markets to end the last week that the Indian markets may open upwards on Monday. Every upward move of the market could be used to short in F&O as the probability of the market moving downwards again is very strong.
The ultimate target for Spot Nifty, in my opinion, still lies around 3235-3300 region, but I could be wrong. One has to note that I am talking about the ultimate target, and not for tomorrow or next week or next month. Again in all the probabilities, that this target for Nifty may be reached in the last week of Oct 2008, that coincides with Diwali.
That is when the markets may turn Investor friendly, and one must look ahead now to choose the scrips of ones own choice and also to keep the cash ready, so that once the markets bottom out, that one could start investing, as the Bull market is expected to get back on track.
One can then starting hoping for the best Diwali in recent times, to change the mood from the Bear market back to Bull market. This is a what I call a wishful thinking.
Cheers!
SS