WHERE ARE WE HEADING

There are 2 possibilities we can look at in this raging debate of where are we headed.

OPTION 1: We take the start of the rally from 920 till 6357. This is the possibility which most of the experts every where have been discussing.The retracements are self explanatory and in RED colour.
OPTION2 :The start of this rally for the time being is taken as 2595 till 6357.The movements of nifty suggest till now that we have been moving in a range which fits these points..This is in BLUE colour.

The possible lows we can hit in the 2 options are 3423-2116..these levels have come out of pure technicals.I have also posted in the blog the speed lines in a monthly chart for tentative movements..kindly take your call from this and trade according to your perception and risk appetite..
As regards next week, 4100 will be the S/R for nifty future,range is wide 3750-4450..take ur call..cheers.

WEEKEND MUSINGS.

Still no package, but US markets did not collapse, surprisingly we did despite no bank failing here.Politics is taking the better of the deal , so be it, why rue on it as it will come , no one in US or anywhere wants a financial collapse. Coming back to our markets, well it seems everyone around is very fearful again and discussing low-lower-lowest and complete collapse in times ahead...so what should Investors who still hold portfolios do, one way is to get out by selling off completely..and go cash....???????or go short,what happens if markets reverse suddenly as can happen in bear markets , look heavenwards for guidence LOLZ.So what should one do practically speaking, remember not all are savvy FNO traders..
1.Knowing that we are at some bottoms( from 6357) right now, use maybe 30-35% capital on shares which you always desired to have but could not due to higher price..
2.Use the other 30-35% of the capital for that severe capitulation down day when prices go to crazy lows.
3.always keep some 25-30% for that fateful low after all systems collapse.(as projected by experts)
4. Dont overtrade, use your own funds..
5. ALWAYS REMAIN POSITIVE.That will keep you healthy too.

REMEMBER WARRENS/ GATES OF THE WORLD NEVER BECAME RICH BY BEING NEGATIVE.THEY THRIVED ON SOMETHING CALLED HOPE.
have a nice weekend..cheers