Well, a lot of people are thinking that the market has come to its all-time high and now it will definitely fall from here. Well, is the market really going to fall from here or can the market go up from here? Now let’s start.
First of all, we look at the Nifty chart. So we look at the simple Nifty chart and we will talk about the weekly chart. If we talk about the weekly chart, then you will see that a strong uptrend is going on.
Now on what basis are you saying that the market will fall from here? If you are expecting the market to fall from here, then are you thinking in your mind that the market will fall from here?
No, I think the market will fall from here. I am telling you genuinely that if you trade on the basis, then the market will fall. You have to see two things. One is technical and the other is fundamental. Let’s talk about both.
Number one, if we look at the technical, then what do I see in the technical? I see the market in a strong uptrend. Number one. Number two, what do I see if I look at RSI? Is it running at 80 now? Many of you will say that we trade at 60-40. Okay, that will also work, but now you see here that after 60, these does not go up.
Is the market in a highly overbought zone? So now on what basis are you saying that the market will fall? Either you confirm the technical, how will you do that? You see a strong signoff reversal here. Some chart pattern is formed or someone confirms the candlestick pattern that yes, the market can fall from here.
I do not see anything like this. So I do not see that the market will fall and if it falls, then something should be done here. The technical should speak. If the technical speak, then we will believe them. So I do not want to say anything from my mind. I want to follow the chart that is speaking. This is point number one.
Point number two, if you follow the fundamentals, I use a website for fundamental analysis. I have told you many times about it. That is tickertape. So if you go to ticker tape and go to ticker tape and see MMI. What is MMI? Market Mood Index. We have written a detailed blog on this.
So MMI is between 0 to 100 and we say that if the market is in extreme fear, then buy it and if itis in greed, then be cautious. It is possible that the market will fall from here, but you have to understand both. Now you are seeing the number of 72and it is between 0 to 100.It is possible that it will go from 72 to 84.
So if both the technical and fundamentals confirm, only then you can say that I will have a bearish view about the market. But if you are trading in put options, then you will see that the market is not allowing you to make money. You want to trade in put options again and again, but it increases from there.
In fact, money is saved in call options and it is also made by people. You can tell if you trade in negative options. This is what I am seeing in the market at the moment. Aim discussing with you.
So now I am not biased about the market, but I am talking about what am seeing. Yes, when this market comes in the extreme fearsome above MMI, then I definitely make my view that the market will go up from here. It is time to buy, but now I can be cautious by looking at the extreme greed, but I will not say that you guys stop your SIP or do not invest money in the market. You can be cautious, but it is not that you think that now it is time to sell everything. So this is not the right thing to do.
Now if SIP is running, then let it run. That’s when you get the benefit of compounding, so I don’t want to stop it.
You will get a screener on mutual funds and stock screener. So on MMI, you can definitely see that tickertape has rigorously tested and seen that when the market goes into extreme fear, then you definitely see that the market goes up and there can be a little correction at the time of greed.
Now you definitely seethe, but I would like to tell you one thing that I personally use it when the market comes into the zone of extreme fear to buy.
So definitely your choice, you can tell your views in the comments. Now one more thing, if you trade in weekly options, in fact, you trade in monthly options, then I am the biggest fan of the option chain because the option chain tells me a lot.
If you want to learn in detail on the option chain, then one blog will not be sufficient, although I have already written a blog on it, but there is a lot on the most powerful instrument I have got in the stock market to learn is the option chain and on the option chain,
we can make a full training course for you in detail, that too in a freeway if you want, then if you comment, then we will try to provide you a detailed training on YouTube on the option chain. Not only what you are seeing now, there is a lotion it, so we do not want to see only open interest change and open interest volume.
A lot can be made from their combination. You can understand lot that it can help you to find out the direction of the market. So it is not a game of one blog, but definitely you can learn a lot, but if you say for that, then we will definitely make a complete training course.
Now I told you that you should learn by looking at the option chain and then trade. If you do not know anything about the option chain analysis, then we have already published blogs on it.
So if you trade in options and you are trading without understanding the option chain, then you are doing something wrong. So now here I will tell you one thing, the people who are expecting that the market will fall, this blog is because a lot of people are asking me a lot of comments were coming that what will happen now.
So until the technical say anything from here, until the reversal is not seen, I will say that the market is in its trend. When you see that there is a sign of reversal from here, then we will try to make a blog for you again. In fact, there is news from RBI tomorrow, so volatility can come in the market.
There can be some volatility from the results of the Gujarat elections, but volatility does not mean that the market will fall. According to me, I am not expecting this until I see anything on the chart.