Beware of October 2012 -
- Maximum times sensex was down on October month in the history of 23 years.
- 1:3 ration fevers for Bears in October.
- Major Chances was downside on this year 2012.
How we should identify and get benfit from this ?
- Currently, market is in the intermediate bull phase and making new top for every minor upmove comes.
- Momemtum indicator are showing negative divergence on the daily/hourly charts. This was initial sign of reversal.
- Also, as i mentioned in earlier post - this upmove rally is seen on lower volume.
- But when this reversal will happen ? Not sure, but i would expect the next week is the reversal week for this upmove.
- If we found reversal on the daily chart in the coming days of next week(1st week of Sept) then we should go for short position cosidering the Bear October.
- If you dont found reversal in the coming days. Don't attempt for Short.
- So, wait and watch and then act accordingly. (Sabra ka phal mita hota hai).
Happy Trading!!!
Yogi
