Last expiry had been around 1% of the July close and it has irritated traders. But analysts were more irritated as Stop loss were triggering on both side of traders. But finally today we could get some signs of movement from Jackson Hole where yellen could sign some sign of rate hike in near future. If at all a rate hike signs are clear from the speech, it could bring a sigh of relief amongst US traders as its “Happening Finally” after a decade long wait. But surely this could come as a much awaited reason for a profit booking in Indian equities. Since the Budget day low of 6825, we have moved almost 25% at todays close. This move could be credited to Good monsoon, GST bill and better earnings so now profit booking to this rally could be accredited to Rate hike chances in US. Technically we have been in a consolidation wave bin the range of 8500-8720 which was indicated by Elliot Wave, but now 8500 is a turning point from which markets could either bounce to 9000 or could active 8290!  Option data suggesting strong support between 8400-8500 while technical support is at 8480. So for next week, as i have been mentioning in my previous post, keep 8480 as trailing SL to all recommended previous longs and Fresh shorts could be initiated below 8400. And am of fear that a “Head and shoulder breakout” could happen which could have 8500 as neckline. Fingers crossed!!

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