Indian Stock Market

Date - 09th September 2010

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Nifty - 5607.85 (+3.85)
Sensex - 18666.71 (+21.65)

Astro-Turning Dates (+/- 1 Day)* -
(This is preliminary analysis of the market which will be updated everyday during Market Hours. Effect can start plus/minus few hours)

Sept 06th     (........ ....... ......... ........ ......... ........ For Paid Subscribers Only- Signal Strength Medium**)
Sept 07th  (........ ....... ......... ........ ......... ........ For Paid Subscribers Only - Signal Strength Medium**)
Sept 08th  (........ ....... ......... ........ ......... ........ For Paid Subscribers Only  - Signal Strength Strong***)
Sept 09th (........ ....... ......... ........ ......... ........ For Paid Subscribers Only  - Signal Strength Strong***)
NOTE - This is preliminary analysis of the market which will be updated everyday during Market Hours) 
 

Technical Outlook 09th September 2010)

As mentioned yesterday, Nifty, which has been moving in a bearish "Rising Channel" pattern for last 10-11 months is testing the top line resistance of the pattern for the 5th time in many months value of which is currently 5640-5650. Nifty is expected to witness good profit booking in this area & corrective decline to 5520 & 5450 is also possible. Though the pattern is bearish Nifty close above 5675 can create fresh Euphoria for higher targets of 6100+ which can be achieved in coming months. Nifty opened with a negative gap of nearly 30 points as most of the US & Asian markets were down by 1%-2%. Nifty tried to stage a comeback & moved up gradually to enter in a positive zone by touching an intra day high of 5625 before it fell sharply at 1300 hours on weak cues from European markets before closing at 5607, about 3 points above the previous close.

As far as, extreme short term charts are concerned, Nifty has entered overbought zones with no. of multiple negative divergences which can bring down Nifty to 5520-5540 in near term. On the other hand, if Nifty manages to close above 5650, it would be setting new targets of 6100+ which may be achieved in coming months. Technically the pattern in which Nifty has been moving for last 10 months is bearish in nature & Nifty should face good profit booking in 5625-5650 region. (From 5T-080910)

As far as bar reversal in Daily charts are concerned, stocks like Nifty, Nifty Future, Tata steel, SBI, Bharti Airtel, ONGC, HDIL, Piramal Health, GVK Power & Infra, Sterlite have given "Upward Bar Reversal" while JSW Steel, Uttam Steel, Jindal Poly, Maruti Suzuki, BGR Energy, Ultra Tech., Amara Raja, Cipla, Godrej Consumer, Dabur (I) etc. have given "Downward Bar Reversal". Stocks like REnergy Development, Heritage Food, Axis AT&T, LT Foods, KRBL, Sita Shree, Bartronics, Kohinoor, Britannia, Granules have shown  spurt during the day with unusually high volumes.

Sector wise, most of the stocks like Daawat, KRBL, Kohinoor, Bartronics, Tata Elxsi, Tanla, MLL, IDBI, Infinite, Rudra, Max India Ltd. etc. were among the top gainers of the day,  to close in positive territory whereas stocks like Prakash Inds., Prakash Steel, Texmo Pipes, Madras Cement, Rain Commodity, Indian Oil etc. attracted profit booking at higher levels & closed in red territory. As far as, A/D data is concerned it was slightly in favor of bulls in the ratio of 7:6 with 760 advances & 623 declines during the day.

In nutshell, there is no change in the technical setup of the market, Nifty, which has been moving in a bearish "Rising Channel" pattern for last 10-11 months is testing the top line resistance of the pattern for the 5th time in many months value of which is currently 5640-5650. Nifty is expected to witness good profit booking in this area & corrective decline to 5520 & 5450 is also possible. Though the pattern is bearish Nifty close above 5675 can create fresh Euphoria for higher targets of 6100+ which can be achieved in coming months.  The best strategy should be to book profit in all the stocks which have risen sharply in last few days to re-enter at much lower levels.

Astrological Outlook for the Week (06th September 2010 - 10th September 2010)

Current Planetary Position  - Astrologically, in Transit, 2 Planets i.e. Sun (In P.Phalguni Constellation, ruled by Inimical Venus ) and Mercury (In P.Phalguni Constellation, ruled by Friendly Venus) are placed in Leo.2 Planets i.e. Mars (in Chitra Constellation ruled by Mars herself ) and Venus, in own sign (In Chitra Constellation, ruled Neutral Mars) are placed in Libra, Saturn (In Uttar phalguni Constellation, ruled by inimical Sun) is placed in Virgo. Retrograde & Debilitated Rahu and Retrograde Pluto are placed in Sagittarius. Neptune  is Placed in Aquarius. Retrograde Jupiter in own sign (In U. Bhadrapad Constellation, ruled by Neutral Saturn) along with Uranus are placed in Pisces. Retrograde and Debilitated Ketu is placed in Gemini. Moon will transit through Cancer (Own Sign). Moon will be transiting through Cancer, Leo & Virgo during this week. 7 out of 10 Planets (Sun & Moon never turn retrograde) are in retrograde motion as on 06th September i.e. Mercury, Jupiter, Rahu, Ketu, Uranus, Neptune and Pluto. Mars will enter Virgo on 06th Sept. On 13th September important astro events like Mercury geting direct and Saturn will combust. Pluto will get direct on 14th September, Sun will enter Virgo on 17th September.

Expected Weekly Movement -In totality, keeping all the planetary configuration, bullish and bearish aspects in mind, months of August/ September are likely to be highly volatile and un-predictable. There are chances of sudden, sharp and unpredictable swings on both sides of the market. There are very complex kind of aspects, both bullish and bearish which are capable of bringing market up and down at very short interval. Till now most of the bearish days have disappointed us while bullish days have proved to be more strong. During next week, first 2 days are likely to be bullish though intraday corrective declines can not be ruled out. ........ ....... ......... ........ ......... ........ For Paid Subscribers Only.  Investors may please note that Jupiter -Uranus Conjunction on 19th September can be turning point in Extreme Short Term. If market declines before 19th Sept, it may reverse the trend for next couple of weeks. (This is preliminary analysis of the market which will be updated everyday for day and swing traders through live market updates and trading calls. Note- Most of the astrological aspects work plus/minus few hours so it is better to follow live updates before entering into any positional trades) 

Trading Strategy - Keeping in mind the different Astrological Turning Dates during the week, For conservative Traders "Light ........ ....... ......... ........ ......... ........ For Paid Subscribers Only may give good profit during the week. Market are likely to remain closed on Friday (10th Sept) on account of Eid.

World Markets - Astro-Technically

Crude Oil
Technically, After declining sharply from $87 to $64, Crude Oil has been moving in an "Ascending Triangle" Pattern having resistance @ $80-$80.50. Bullish Breakout above the resistance is capable of taking crude to $88-$90 in coming weeks, whereas breakout below the support can target $64-$65 in coming days.(From 5T-020810). Astrologically, crude is likely to show 2 way trend. Early part of the Week looks bullish while later part of the week i.e. 09th/ 10th may fevor bears as far as weekly movement is concerned. 

GOLD
Technically, Gold had given bearish breakout from "Rising Wedge" Pattern on 01st July, setting a bearish Target of $1125-$1140, recovered from the low of $1155 to move up to touch an intraday high of $1256 on 01st September is losing momentum as far as EST Charts are concerned. This might lead to corrective decline towards $1205 in near term. Technically, Gold is just short of $10-$12 from all time high and once this level is breached decisively, Gold may be heading for $1350+ in coming weeks. Astrologically, Gold is expected to remain volatile this week with possibility of rise on 09th and 10th September 2010.  

SILVER 
Technically, Silver, after achieving the bullish target of $19.35-$19.50 has reached the crucial resistance Zone of $19.75-$20. Once this resistance is taken out decisively, Silver would be heading for $25 in coming weeks/ months. Once this resistance is crossed, position traders can use every decline for buying with broad SL of $19.05 and bullish target of $25.   Astrologically, Silver will show 2 way movement i.e. Rise on selected 06th/07th but decline on 08th and 10th of September. 

US Dollar/ Indian Rupee ( USDINR)
Technically, as mentioned last week that INR /USD continues to move in a "Falling Wedge" pattern since June 2009 having resistance at INR45.60 and Support at INR44.00. Bullish Breakout from these levels may target INR47.50-INR48.00/USD in coming Weeks. In Near Term, INR may face Resistance at 47.75 and bullish crossover will set higher targets of 49.50 - 50.00 in coming weeks. (From 5T-120710)  Astrologically, This week USD-INR will continue to remain volatile. 09th and 10th may see sharp swings on both sides. 

US Markets  
Technically, after giving breakout from bearish "Rising Wedge" Pattern and remaining below the Rising Resistance line this pattern both Dow Jones and NASDAQ declined sharply from 11258 to 9757 and 2535 to 2139 respectively. During it's pullback move, Dow Jones touched 10719 and declined sharply losing more than 700 points to touch a low of 9936. Now DJI is making "Inverted Head & Shoulder" Pattern with Neck Line Resistance around 10765 and bullish breakout may Target 11500-11700 in coming weeks. Move below 9600 will open way for 8800-8850 in near future.  Astrologically, this week may see See-Saw movement with "One Day Up, Other Day Down" kind of move. While 06th/07th looks volatile, bullish move on 08th September and corrective decline on 10th September.
 

Analyzed by,
Rohit Dinani - CFTe, IFTA(USA), Jyotish Shastracharya (AIFAS)
Gulshan Kumar -  Dip.T.A, MSTA(London), CFTe, IFTA (USA), Jyotish Shastracharya (AIFAS)
Website: www.5trades.com / Email : 5trades@gmail.com / Tel: 09999491935

Disclaimer : The Technical and/or Astrological analysis provided in this newsletter is for the purpose of education and guidance of investors and traders. The information provided herein is not to be construed as an offer to buy or sell securities of any kind. Any information, analysis, recommendations, opinions and suggestions are given with the understanding that readers acting on this information assume all kind of risks involved in trading and investment. Under no circumstances, Analysts / Astrologers will  be liable for any loss, profit, special or consequential damages that result from the use of the contents in this newsletter. Trading in stocks is a high risk activity which can wipe off more than your entire capital. Trade at your own risk only with adequate research and judgment.
Disclosure: None of the analysts/astrologers have any position in any of the recommended stocks.