WEEKLY ASTRO GUIDE FOR NIFTY

FURTHER FALL EXPECTED

CAUTION AT LOWER LEVELS

Outlook for Next Week :: 13.01.2014 to 17.01.2014

Nifty has fallen in the first Two weeks of the new Calendar year and based on a study of the past, initial movement of the year dictates trend for the year and if this is any indication, we could be heading for a Bearish year 2014 !!!

 Planetary Position ::  During the current week Moon would be
transiting  from Mrigasira  in Taurus    to  Aslesha in Cancer.    Sun transits in Uttarashadha constellation in Sagittarius and Capricorn. Mercury transits in Uttarashadha and Sravanam  Capricorn sign.  Mars  transits in   Hastha and Chitta constellation in Virgo.   Saturn continues in Visakha  constellation in  Gemini navamsa.  Jupiter transits in Retrograde motion (till 6^th March 2014)  in Gemini and presently   in Aries  / Pisces Navamsa .  Venus, in retro motion till 1^st February 2014,  transits in  Poorvashadha  constellation in    Sagittarius ..Feeble effect of the Grand Square involving Mars, Sun, Uranu and Pluto constinues to be present.  Further , Nifty’s range from last week’s Monday to Wednesday could  be considered as a reference range for the next Three weeks and the range was 6225 and 6145 and  Nifty could be considered Bullish above the High of the range and Bearish below the low of the range. . Further with both auspicious planets i.e., Jupiter and Venus being in retrograde motion, sustained upside too  can not be expected. New Solar months commences on 14^th January in Aries LAgna with Ketu being present and aspected by Saturn could restrict the movement and upside appears capped too.

 

NIFTY :: 6171(-40)  

 

Nifty fell for the Second week by more than 0.50% amid  very narrow movement. Sectoral indices moved in different direction with IT, FMCG gaining while Bank, and interest rate sensitive sectors dragging  down. Nifty has been moving in a narrow range for the last Seven weeks and appears due for a directional move sooner than later. Q3 results would provide scrip specific direction while RBI policy and Fed policy towards month end could provide a directional move.. Short term trend continues to remain neutral with downside bias and closer to lower end of the range ie., 6125.  While Medium and Long term is bullish, short term trend has been oscillating in a narrow range with bullish / bearish bias .. Further, moved up smartly in the last quarter of 2013 hoping for a pro market / pro reform Government at the centre in the next election. However, with the surge of another political party, odds of NDA coming to power comfortably seem to be difficult and market is treading cautiously  Market is hoping for a performing Government in next elections and is factoring in the bullish sentiment. Hence, it all depends on Election outcome for real direction to the market. However, cautious bullishness prevails in the present market as midcap stocks too started performing.  In view of the recent political developments, it appears unlikely that the market would make another new high below Elections  and next course of market direction depends on election outcome.  Further, Q3 results season too would be starting from Second week of January and scrip / sector specific movement would be in focus. While Nifty made a new high for statistical purpose, it would be in place in spirit only when it maintains above the previous high. 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 (after Elections).  . Technically, Nifty is in a narrow range and major support at 6125 and resistance at 6325 (on close basis)  and unless either of these levels is broken decisively, it can be considered to be in neutral range Nifty is  above 200  DMA   and   50DMa is above  200DMA and makes a clear case of “Buy on Decline” with 200 DMA as stop loss.  .Any decent correction is an opportunity for medium / long term investors and  it is a clear case of “Buy on Decline”  long as it holds above 200 DMA, which is presently placed around 5900. 

For the coming week, Nifty spot is expected to face resistance at
6250,  6330, 6410 and find support at 6090, 6015, 5935.

Nifty spot has strong  support at 6125 and resistance at 6325. Nifty needs to decisively close below 6125 for a couple of days to sustain downward  momentum. However, based on the present chart pattern, it could break 6125, in which case strong support exists around 6050 level.

Advice for Traders :: Nifty has fallen for Two weeks and further fall too possible based on the chart pattern. However, a rebound is possible in Second half of the month. Hence, caution is advised at lower levels. Strong support exists for Nifty at 6125 / 6050.

 

WD Gann’s natural numbers  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 @sastry.saaketa@gmail.com

09848014561