CONSOLIDATION AHEAD

General outlook for the week (18.11.2013 to 22.11.2013) ::

 Planetary Position ::  During the current week Moon would be
transiting  from Krittika in Taurus  to Punarvasu in Gemini .  Sun transits in Visakha and Anuradha  constellations  in Scorpio.    Mercury ,transits in Swathi constellation in Libra.   Mars  transits in  Leo in Pubba and Uttara  constellations.  Saturn continues in Visakha  constellation in   Aries navamsa.  Jupiter transits in Gemini in Punarvasu  in Taurus Navamsa in Retrograde motion till to 6^th March, 2014.  Venus transits in  Poorvashadha  constellation in  Sagittarius sign. Astro Range during last week was 6150 and 5970 and can be considered as reference range for the next Three weeks and Nifty  can be considered Bullish above the High and Bearish below the Low level. 

Nifty Outlook for Next Week :: 18.11.2013 to 22.11.2013 (Buy on Deep Decline)…  

 NIFTY :: 6056 (-81)  

Nifty continued its downtrend for the Second Week and trimmed its  weekly loss due to Friday’s rise. However, it has taken support around strong support zone and in case it does not revisit, the rise too can be smart. However, there is a possibility of Nifty making a double bottom or slightly lower bottom before it rebounds. Hence, this can be considered as a week of consolidation and any reasonable / deep decline can be considered for  buying for short term. At the same time, caution is to be exercised at higher levels. Ongoing correction can be considered as a healthy correction for the smart rise of last month. While Short term trend is Down, Medium / Long term trend continues to be Up . and any decent correction is to  be utilized for Medium term long positions. Political developments are to be closely watched for further trigger. Further, Nifty has been trading in a range of 4600 to 6300 for more than 4 years and is due for a  powerful breakout sooner than later. All eyes are on forth coming State Elections which could be viewed as a  prelude for the forthcoming Big fight. Stock market discounts future in advance and is ahead of economy and fundamentals atleast by Six months. and medium term bullish sign in markets presupposes improving fundamentals.  Nifty has been making higher bottoms and can be expected to breakout and make higher tops. “Buy on Decline” may be followed for Medium / long term. Traders should be ever vigilant to track short term movements and presently, a close above 6125 only would reverse the short term bearish sentiment. Nifty is  above 200  DMA  and 50 DMA and the  50DMa also is crossing  200DMA and makes a clear case of “Buy on Decline” with 200 DMA as stop loss. .

For the coming week, Nifty spot is expected to face resistance at
6135,  6215, 6290 and find support at 5975, 590080, 5900.5825.

Nifty , presently in short term bearishness, would reverse only on a close above 6125.

Advice for Traders :: Nifty , presently, in short term bearishness, might revisit / make a lower bottom before rebounding. Hence, caution is advised at higher levels and any deep decline may be utilized for buying as a fresh wave of Bullishness is possible after the ongoing correction as Medium / Long term trend is Bullish.

WD Gann’s
natural numbers which would act as natural support and resistance are
, :5891,  5968, 6046, 6124, 6202 ,6281, 6361,6441  during the week.

Further , Weekly Open level is very important for the entire week.
Short positions may be avoided as long as it maintains / closes above
Weekly open and vice versa.

Inputs provided by

Dr.Bhuvanagiri Amaranatha Sastry

Astro Technical Analyst

Saketha Consultants, Hyderabad

He can be reached @