Operator Game in HDFC Bank HDFC Bank in the Month of Jan had a Major Crash falling from 1712 levels to 1363 and it broke down below Long Term Parallel Channel
Around Jan last week - RBI directed LIC to take a big stake in HDFC bank, but there was absolutely no reaction in the price and it was still sustaining below the Parallel Channel
Price later took support at 1363 in the Month of Feb and triggered a retracement, but the increase in Mar and April was still not enough to bring the price inside the Parallel Channel
Time passed till June - now its 2nd Quarter close below Trendline if HDFC DOES NOT recover inside the channel
After Election - PSU Banks were expected to Rally, Defence and Railways were expected to Rally. Defence and Railways did rally for 2 weeks but stopped right after
PSU banks - never took off - but Operators played a beautiful game by Stopping the funding to Defence, Railways, and other Small & Mid Caps and PUMPED in all the Money into HDFC which triggered a massive Rally on Nifty Private Bank Index
Though there was NO Special NEWS on Private Bank sector - Why did it Rally suddenly ??? No New Investments, No messages from FM - then why ?
Just To bring up HDFC money was pumped in and when a high tide comes it moves even a Stalled ship - similarly other Private Banks caught fire along with HDFC (Collateral Benefit)
So - why did I say today morning that Private Banks & Particularly HDFC will be FLAT to Mild Negative ????
Because....
1. HDFC came safely with the Parallel Channel - no more push required
2. HDFC met its previous ATH resistance 1712 and after a massive rally - I knew for sure they won't pump more to Breakout of the resistance
Remember the Pump in was done to SAVE HDFC not to Breakout ATH
The entire Private Bank Index was brought up JUST TO SAVE HDFC - Understand the Game now ? Next Week HDFC will fall - which will pull down Bank Nifty, Private Bank index more - Its NOT a correction but rather "GASPING for AIR" after a Hussain Bolt Sprint
Now that no more money would be pumped into Private Banks, the focus would shift again towards Defence, Railways and Green Energy next week
Was I able to Connect the Dots 2 Quarters before to what is happening on the ground till date ?
I don't need to watch any News Channels / paper / Media / Fundamentals - Just by keeping Track of Charts and How Market Moves - I can decode such a long Operator Game
How does this sound ??? Like my analysis ? Please do share your opinion