NIFTY

NIFTY and BJP

Last month saw the euphoric rise of the BJP and Nifty emanating from a historic win of BJP in the Uttar Pradesh state elections thereby strengthening the party in the Upper House of the Parliament and whereby ensuring easier passage of bills henceforth.

The BJP win also negated the opinions of quite a few political pundits about the impact of demonetisation on the popularity of the Indian premier. Rather in extrapolation, the popularity increased from strength to strength, to the extent that the win has quietened quite a few quarters.

The correlation of the cause and effect relationship of the win, the demonetisation, the rise of BJP and the rise of Nifty can however not be established in the same manner as no one can ever establish the nexus between the political brass, media and the markets worldwide.

Nifty Charts

Nifty on fortnightly candlestick charts has formed a hanging man pattern which needs confirmation on fortnightly candlestick charts in the current fortnight to prove to be bearish.

Nifty on daily candlestick charts has made a doji with a long shadow/ tail akin to a hanging man pattern. This needs confirmation on daily candlestick charts to prove to be bearish.

The author can be contacted at: riskadvisory@outlook.com

DISCLAIMER:

These extracts from my trading books are for educational purposes only. Any advice contained therein is provided for the general information of readers and does not have regard to any particular person's investment objectives, financial situation or needs and must not be construed as advice to buy, hold and sell or otherwise deal in any kind of commodities, currencies, securities or other investments. Accordingly, no reader should act on the basis of any information contained therein without first having consulted a suitably qualified financial advisor.