WEEKLY ASTRO TECHNICAL GUIDE FOR NIFTY

SIGNIFICANT CHANGES IN PLANETARY MOVEMENT

Inputs by

Dr.Bhuvanagiri Amaranatha Sastry

Astro Technical Analyst

Saketha Consultants, Hyderabad

sastry.saaketa@gmail.com

09848014561

During the current week Moon would be transiting  from Uttarabhadra in Pisces to Krittika  in Taurus. Sun transits in Sathabhisham and Poorvabhadra in Aquarius . Mercury got out of Retrograde motion and is Direct now and moves slowly in Dhanishta constellation in Capricorn . Mars  transits in   Chitta constellation in Libra and gets into Retrograde motion from 1^st March till 20^th May.  Saturn too gets into Retrograde motion from 2^nd March till 20^th July and presently in  Visakha  constellation in  Gemini navamsa. Jupiter moves out of retrograde motion on 6^th March and in Aardra constellation. On the whole, Mercury and Jupiter get out of retrograde motion and become Direct while Mars and Saturn get into retrograde motion. Nifty’s range from Monday to Tuesday would be the reference range for the next Three weeks and Nifty could be considered Bullish above the High and Bearish below the low . Hence watch out for this range. Further, Tsquare among slow moving planets ie., Jupiter, Uranus and Pluto continue to be in operation leading to sudden changes. During the week, Moon’s position in Pisces on 3^rd and 4^th would further activate the slower planets,  indicating surprising reversals / changes.

(Outlook for Next Week :: 03.03.2014 to 07.03.2014)

Caution at Higher Levels 

 NIFTY :: 6277 (+122)  

Nifty continued its gains for the Second Week and gained about 2% and February month too clocked in a gain of more than 3%. Technically, while some more upside is possible, caution is advised at higher levels. As Nifty is a broad range of 5950 to 6400, resistance at higher levels is to be expected. However, Nifty has been trading in a range of 5950 – 6400 and could remain in the same range for some more time  unless strong global or domestic factors are triggered. Valuations are supporting at lower levels and macro headwinds are offering resistance at higher levels. In this scenario, decisive election results and a strong Government at the centre would provide direction to the market. Despite narrow range in Nifty / Sensex, most scrips exhibit reasonable short term trends and market participants could focus on scrips for short term investment / trading opportunities. Generally, being First week of derivative series, positiveness can be expected.

Nifty continues to be above 200 DMA and 50 DMA too is above 200 DMA suggesting that the long term bullish trend is intact. Bank Index which is a major component of Nifty is distinctly weak (particularly PSU Banks) and unless Bank Nifty  completes the down cycle and reverses the trend,  Nifty can not become decisively bullish.  Hence Focus on Bank stocks for reversal to track Nifty. IT and Pharma indices are generally strong and Energy major Reliance needs to take support at lower level and go up to support Nifty. Recent political developments too was a dampener for Reliance Further, broader index does not speak of the total market movements as there were scrip specific movements and better to focus on scrip specific movement. Sectoral and Scrip rotation has become the order of the day. Big event of 2014 is Loksabha Elections and the outcome would dictate the future trend.  As Nifty is quoting below long term PE, any further fall could make it attractive.   

As long as Nifty holds above 6000, long and Medium trend can be considered Bullish. However, Bank Nifty is distinctly weak. Medium and Long term trend is Bullish and Short term trend has been oscillating and the immediate range   is 5950 to 6350.

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). 

For Short term , the stop loss is 6200, and for Medium term, stop loss is 5950.   For the current week, Nifty spot could find resistance at 6325 above which strong monthly resistance comes at 6375. Nifty would be bullish for March only if 6375 is decisively broken, which appears unlikely. Hence caution is suggested at higher levels. High risk traders can consider short positions at higher levels with stop and reverse above 6380 / 6400.

For the coming week, Nifty spot is expected to face resistance at
6355,  6435, 6525 and find support at 6200, 6120, 6040.

Nifty is in short term uptrend with stop loss at 6200 and  strong resistance at 6375 and unless it continuously trades above 6400, it could reverse the trend.

Advice for Traders :: As suggested above, while some more upside is possible, caution is advised at higher levels between 6350 and 6400. Traders may focus on scrip specific movements .

WD Gann’s
natural numbers which would act as natural support and resistance are
, :  , 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