Stay stock specific in the ongoing correction phase: Devang Shah

Short term outlook for the market still remains negative till Nifty trades below 8,306 levels

NIFTY

CLOSE- 8243.80 (06.01.17)

Nifty closed second consecutive week in positive territory. It extended pull-back rally further as expected and closed around short term reversal levels at the end of weekly trading session. It made a high of 8305.55 levels on Nifty. I would like to wait for one or more trading sessions this week to finally conclude short term trend reversal.

It also looks like end of pull-back rally with right shoulder formation from wave count perspectives, if fails to confirm short term reversal. One should closely watch out market behaviour at these crucial levels of market for beginning of next round