The Magical Bear Square 100 * 100 = 10,000

Fast Approaching

Corrections and Bear Markets are good for a healthy and developing stock market like India. Understanding the turning
probabilities would help the retail investors to save hard earned wealth during the times of market difficulties. While there are
many theories to help identify the turning phases of market, they can also be understood by keen observation. Today, I would like
to draw your attention to one such key squares for Indian Nifty.

Ever since Nifty was published for Indian Markets, the squares of rounded numbers have provided a great insight in the path
ahead. Nifty has started its journey with base number of 1000. Given below is the set of squares of rounded numbers and how
they have behaved in the past.

30*30 = 900 | acted as a tough support in the formation stages of Nifty

40*40 = 1600 | the first biggest bear market for Indian Nifty started during the quarter Nifty touched 1600 for the first
time
50*50 = 2500 | acted as a strong base for the worst quarter of 2005 and greatest bear market of 2008.
60*60 = 3600 | we cannot forget a flash downside bear market quarter in the year 2005. It was one of the fastest
correction we have ever witnessed.
70*70 = 4900 | it (4511) was the support for the end of 2011 bear market. It is also the start of a new (current) bull
market in India.
80*80 = 6400 | just shy of 6400, we had witnessed a worst recession of 2007-08 and a time testing bear run in the year
2010.
90*90 = 8100 | could act as a next new base for the next correction / bear market.
100*100 = 10,000 | fast approaching and may be a tough resistance for the bulls to take it out that easily.

From the above squares, one common point can be drawn, it is always the odd rounded numbers which has acted as a Bulls
Magical Square where bulls depends on to hold support and it is the even rounded numbers which has acted as a Bears Magical
Square where the turning down of markets begins.

We are heading towards Magical Bear Square of 100. What lies ahead?

Disclaimer: This observation is not scientifically proven and not to be used as sole decision making tool. In fact, this observation
is for educational purpose only and cannot be relied upon for any actions into market. It is better to rely upon fundamentals or
technicals to take any decision to be / not to be in market. Please do not share as this is intended only for educational purpose
and intended to selected people closely associated with me / Pentad Securities.

Praveen Pathiyil