The most important thing you must learn in every market cycle is where the money is flowing. It is flowing into the companies where the earnings are growing. As long as mutual funds have capital in flows instead of net out flows then they must put new money to work investing in stocks. If you want to make your job as a trader much easier then find where the flow is going. Mutual fund managers can not go to an all cash position they can only move money around. A bear market sinks most stocks because managers have to sell everything to raise money to redeem shares. In an uptrend they have to buy stocks with the incoming money flows. Where does this money go? It goes into the sectors and stocks that are in favor due to increased earnings in a sector and individual stocks that are dominating their sector and changing the world in the process. You want the leaders not the has been. You want the best the market has to offer. Where are consumers dollars flowing into? That is where the money is going. What companies have the best growth prospects? The stock can only grow in price if the underlying company does. Mutual fund managers are the biggest customers in the market when they start buying a stock that increases huge demand and price support.Your job is to follow the big money, shorting in bear markets, going long in bull markets. Following the trend of what is in favor. Do not fight the action, flow with it.Quit having opinions and start being a detective looking for the smart money, the fast money, the big money and where it is going now.
Last Close :6369
Above is Daily Chart of Nifty Future ,Yesterday we had Boldly mentioned :Below 6388 level …We see PANIC upto 6332-6314 level.
Yesterday low of 6317 is false ,But it kissed low of 6344 & taken U-turn (Intraday )
Those Who Bought 6600-6500-6400 PUT on Monday (Yesterday minted TONS of Money )
101% ,No need to Change levels @ all.
6332————-6314 are Support levels.If breaks and trades below 6314 with volumes and sustains for 15-20 minutes then ?
7DEMA @ 6296 is last Hope.
Suppose Not breaks (Yesterday’s low of 6344 ) level ………….then it will have to cross 6386 level to show power.
Next Target :6412–6420.
Yes ,Now Forget Fundamentals ,Economy ,Growth ,Inflation ,IIP Number ,Corporate Results ,Politics :Just Concentrate on 6593
Three Consecutive close above this level +Weekly close (if happens )…….We see Nonstop Rally upto 7363————7620
Remember ,As A Trader U have to Make Fortune from stock traded in FO Segment.U can’t mint money by trading in Cash Segment stocks.
In FO Segment 90% or more mkt in hand of Fii’s +Company people +Insiders+Blue Channels !From Results to NEWS …Everything is known to few 100-200 people only.
So as A Trader u have to concentrate on Trading levels (Nothing else )
101% More Details ,Intraday levels to our Subscribers
Updated at 8:24/11th Dec/BARODA/INDIA