BLOOD BATH

Bulls got butchered all over, anything and everything capitulated, and no place to hide.. break in morning of fridays low started it all and the drift looked like not stopping at all..Nifty still held 3774 , 3rd time, MAKING TRIPLE BOTTOM in the last 3 months..Will it hold ,who knows..shorts were covered in the last 1hrs trade, lets see where this takes the market. Can we buy here well some one did ,to make the markets move up sharply.. Every one is looking at cues from US to see what where we headed..September will be ending at a very weak/capitulated point..lets see how october unfolds..take care ..cheers.

NIFTY CLUSTER

One of the methods technical analysts use is looking at CLUSTERS to find resistances-supports.Looking at the above chart you will find a good cluster being formed in the zone of 3950-4000 and a little deeper at 3900.. There are 7 levels of nifty in this zone..,which have been derived from making extensions/retracements from various levels nifty has travelled in last 2-3 months. Normally at these levels markets try to take support and change course.. As these are exceptional times a break here can take it back to test the lows or lower..Lets wait for a day or so for some confirmation, too much news is there in the pipeline and one can just get whipsawed viciously..trade cautiuosly for the next day or so...cheers