mkt bounces from support near 13500

market has taken support near low open level of 18/05/09. it was 13479.i had mentioned abt this pattern in mail

http://pankaj564.blogspot.com/2009/05/watch-lvls-of-1347913300.html . more over i had posted trendline chart yesterday.there also support was coming around 13500. with help of positive world mkts we have bounced today .we corrected by 1412 points from top of 14931. 50% and 61.8% retracement lvls come at 14225/14392 respectively.today's high was 14123.

 

if we cross14392 also and move ahead then we can assume that this upmove started from 8047 is not completed and we will cross

14931 and we can end 5th and final sub wave of 5th sub wave of move started from 8047 in coming days. we can see strong resistance at 14931/15107/15580 and 16000.

 

if we revrse from any of the retracement lvls mentioned above 14225/14392 then we can see further weakness and correction taking us below 13500 .

LOOK AT TREND LINES

LOOK AT TREND LINES

market status

i will put it in different way. at present over all 3 different scenarios are feasible.

bearish : we are correcting in A-B-C pattern. we have completed major A at 7697, we have completed B at 14931 or we will see little higher top betn 14931 -16k and complete B and we will see major C making new low or double bottom before going for a fresh bull run.

bullish : we have completed total correction in 5 wave pattern and we are in new bull run and we will see levels higher then 21206.

optimum : we are correcting either in A-B-C or A-B-C-D-E pattern. we have completed A, we are on B. Ba upward completed at 14931,we are on Bb downward. on completeing Bb we will go for Bc upward again and that will be a very good time time to book profits and geneartion of cash.bcz we will see C wave dnward after that.

stratejy: today we have seen bearish reversals in no of mid and small cap stocks. no of stocks were up by 5 to 10% up today and have closed dn.more over we have reached very close to 13479 level which was seen as low open level on last monday post election result. today's low is 13511. i have mentioned in detail in prev mail abt supports at 13500-13300 zone and after that 12300.we have to see upward trend line also.so now it will be better to buy in large cap only on reversals in upward direction.

watch pharma stocks

pharma stocks are showing strength. look at them for short term buying.

Spandan waves updates

Dear all,

Updates on 24/05/2009

Last time I gave two different presentations and gave a view that if we cross 12650, we should consider that we are on B wave which retraces entire downmove from 21206 to 7697 by 50%.

The targets were also given as 13070/14600 and 16200 (Approximately)

We have already seen 50% target at 14930 (crossed 14650 but didn't close for 3 days above it)

Currently we are reversing and that could be it's major subwave called "b" wave. (Bb)

It has three waves, a, b and c and we have already seen a part of "a" wave to 13750 or so.

Currently we may be on a small upwave within a downwave. The downwave
may last for 2 to 4 weeks. (Roughly)

We may stop at either

1 12315
2 11500
3 10700

Basically it is an intermediate opportuntiy to BUY.

But beware, the next upmove called B-c may not allow most of us to sell. Sentiments would grip the MIND. Remember my words please.

Alternatively we may go higher right now, re-test 14600 again , go bit further up to 15300/15700 and then after fall to one of these above levels.

Once we complete the downmove, we may not only re-test 14600/14930 but
also march on to see 16200. There is a slim chance to see even close to 18000 (17800/17900 band)as a 76.8% ratio.

If we touch 10700, I strongly believe that one must take opportunity not to build a ST potfolio but also look for an opportunity to build a LT one.

Basically market is still very much a "BUY ON DECLINES".
======================================================

Please understand that all forecasts can go wrong so make take your own decision.

Best wishes,

Spandan Joshi

Fwd: sandip sabharwal : PANIC BUYING

kindly go thru link given below. interesting article.

Blog: sandip sabharwal
Post: PANIC BUYING
Link: http://sandipsabharwal.blogspot.com/2009/05/panic-buying.html

STOCK FOR SHORT TERM

STOCK FOR SHORT TERM

BUY LAKSHMI OVERSEAS CMP 80.3
SCRIP CODE ON BSE 519570.
STOP LOSS RS. 70.
TARGET 100.

SPANDAN WAVES AS ON 18.05.09 EDITTED

i had posted chart but Spandan's imp comments were missed out. i have added them in original post also. posting it again with his comments.

Dear all,
 
My comments on latest Elliot Waves.

1. It is very clear that we are now on the alternate wave count. The broader cycle is A-B-C wave. The fall from 21200 to 7697 was the A wave. We are now in the B up move which is a ferocious up move which will cause people to forget the bear market is over.

2. B up move can take us to 13100, 14600 and max 16200. This should peak out sometime in August. B wil consist of 3 waves A-B-C. We are now at B-A-5 (or 3). The last upmove is the most violent.

3. We will have a small dip in B-b which can take us anywhere between 9900 - 10700 range. This will be followed by B-C which takes us to 16200.

4.Post this we will have the last C wave with min targets of 10700-9250. The bottom could be in place by November.

This fits in with the fundamental analysis also. The B wave of the bear mkt rally makes people forget all is well. It brings in fresh people to buy at tops.

Thanks,
 
Spandan Joshi

watch lvls of 13479/13300

recently we are following a typical pattern in mkt.we see a consolidation period in a range and we break from range with a gap opening and after moving up again we are going for consolidation in a range.we have seen good support around 10700 and 11600.after testing top of 14931 we are correcting.now where we can get support?

 

we had huge gap opening on monday post election results and low on monday was 13479 creating a gap betn 12300-13479.so now we can get first support near 13479.

 

if we look at retrcement lvls of move from 11621-14931, 38.2/50/61.8and 80% lvls are 13673/13276/12885 and 12283.we had seen 13700 today, next support at 13276.  which is near 13479.

 

if we look at retrcement lvls of total move from 8047 to 14931 23.6/38.2 and 50% lvls are 13306/12315 and 11489.

so first lvl of 13306 is near 13479.

 

we can see good support betn 13500 and 13300.after that gap of 12300-13500 is to be seen . 12300 becomes next strong support.

stock to watch

BIOCON LOOKS GOOD FOR SHORT TERM BUYING. CMP RS. 163.00