I really love one word of Brett N. Steenbarger that half of what we see in the market isn't real. Suppose you see the Nifty futures rise a full point in a short period of time on solid volume. Seeing the market rally, you jump aboard, only to have the entire move retrace.
What happened?
In a nutshell, that move you saw on the screen wasn't real. Yes, the index rose on buying, but what you didn't see on the screen was that the very same buyers of the index were selling the Nifty futures. Once the futures moved a full point higher, exceeding fair value, they then sold the futures against a basket of stocks in the index to bring the futures and cash back into line. The moves were real, in the sense that they genuinely cost traders money. They're not real, in the sense that buying or selling did not reveal bullish or bearish tendencies on the parts of large market participants. So you need to develop a third eye to see the real things in the market
Now what happened today? Dubai’s government said it hasn’t guaranteed the debt of Dubai World, the state-controlled holding company struggling with $59 billion in liabilities, and that creditors must help it restructure. Dubai shares tumbled and Abu Dhabi’s stock index today fell the most in at least eight years on the first trading day since the announcement.
What will be the effect on Indian market? We are entering December, a month of holidays. I hope you will want to play it safe in December. 100% sure if you just follow this site for Nifty and Bank Nifty you need not to see any other site for the same. Yesterday written in Nifty future above we will see clear run up till 5052 or more. Don't be astonished, dont waste time on finding the answer how I knew it beforehand, instead just check the charts once crossed 5018 today, it made a high of 5072.50. Written if stays above 8878 Bank Nifty future will zoom till 9013/9078 or even 9146. See it to believe it, Bank NF made a high of 9128 before crashing in the end. Is it any more a rocket science that the subscribers have made 600+ points in the last two Bank Nifty trades in the last 3 sessions alone?
Now what to expect tomorrow? Nifty future above 5008 is safe for bulls. Will again touch 5052/5067/5080 on the higher side. Important resistance exists at 5067 and support exists at 4937. Now if breaks 4937 and even breaks 4917, then??
Bank NF upside first hurdle 9013, if crosses with volume then will move till 9098/9125/9146. But if breaks 8878, then?? You need to subscribe to the Nifty pack, for full market hour guidance.
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Nifty future important levels for Tuesday, 1st December:
R3 5149 R2 5111 R1 5067 PP 5029 S1 4985 S2 4946 S3 4902.
Bank Nifty future important levels for Tuesday, 1st December:
R3 9242 R2 9185 R1 9085 Pivot Point 9029 S1 8930 S2 8873 S3 8774
