Om Sri Ganeshaya Namaha

Om  Sri  Ganeshaya  Namaha
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Saturday, February 28, 2009

Bottom near??

Monthly nifty chart

The Monthly RSI (6) has reached levels last reached in September 2001 panic times due to the WTC terror attacks. This shows that we are in extremely oversold conditons and one should look for panic selling to enter markets.

Other parameters to be kept in mind are that since the last four months the nifty has closed on a monthly basis between 2960 and 2755. These levels are thus extremely important for the coming month. Only a break above or below those levels will lead to any sustainable move.



sureela said...

hi lakshmi;
u based ur message BOTTOM NEAR - on RSI lvl. of 2001 of sept./11.
But is not the whole economic scenario of the whole world now very different from that point of time.? Looking at the present ; may be it s a bit premature to speculate on BOTTOM as of now. no hard feelings. ; just my 2 bits worth of thoughts. sureela

Lakshmi Ramachandran said...

i didnt say bottoming out. I said bottom.The two things are entirely different.A bottom can be made anytime but the bottoming out process could take any amount of time. Will try to put up a post about the difference between the two in my blog
thanx for ur interaction