Initially, it was a volatile session during the first half which turned out to be lack luster as the day progressed. The benchmark index started the session on a flat not and corrected sharply to fill previous day’s gap. During the process, Nifty registered an intraday low of 10733 but recovered sharply to trade above 10800 mark. Later on, the markets turned sideways to end with decent gain. Meanwhile, the Nifty Bank index outperformed by closing with a gain of more than 200 points.
The market breadth remained extremely strong from the beginning of the session but turned a bit neutral as the day progressed due to selling in broader markets. On the sectoral front, NIFTY PSU BANK (+2.77%) stocks underwent strong buying which was followed by NIFTY PHARMA (+1.51%) counters. From the F&O space, SREINFRA (+6.61%), SYNDIBANK (+4.76%) and RPOWER (+4.62%) were the top performers.
MARKET OUTLOOK
In latest session, the index Nifty spot remained in a trading range of its previous session and there is hardly any change in the price structure. Thus, we reiterate our view that the price structure indicates both lower and upper ranges are contracting and taking shape of a triangle pattern. A breakout on either side from this pattern shall dictate the further trend.
On the upside, positive momentum might continue only above 10923 mark which could take the index towards psychological level of 11000. On broader time frame, the support of 10330 has now shifted to 10530. A decisive move below the same might end the bullish trend for the time being. Intermediate support is now at the lower range of triangle which is Friday’s low of 10628. At this juncture, we advise traders to remain stock specific but avoid over leveraged positions.
STOCK : SPARC – Daily Chart
STOCK OUTLOOK
Since the year 2018, SPARC has eroded more than 50% from its peak of 532 and now trading well below the 200 mark.
Due to this, the stock has reached highly oversold zone and the RSI – Smoothened oscillator has entered its lowest level of 2 since the year 2008.
We are witnessing a positive crossover in RSI-S which indicates a possibility of sharp bounce.
Thus, we advise traders to buy the stock above 188 with a stop loss of 176 for the target of 215.
Posted by Mehul Kothari | Published on 07-JAN-2019
MARKET RECAP
The week kicked off on an optimistic note on the D – street on the back of a sharp surge in the US markets during the final session of previous week. However, the benchmark indices failed to sustain at higher levels and closed with decent gains. The index Nifty spot registered an intraday high of 10836 but close below 10800 mark with a change of 44 points. Meanwhile, the Nifty bank index gained over 100 points.
The market breadth remained extremely strong from the beginning of the session but turned a bit neutral as the day progressed due to selling in broader markets. On the sectoral front, apart from NIFTY PHARMA (-0.58%), NIFTY PSU BANK (-0.37%) and NIFTY METAL (-0.11%) all the other group indices closed in positive terrain. From the F&O space, IBULHSGFIN (-5.43%), DHFL (-4.44%) and VGUARD (-4.08%) were the worst performers..
MARKET OUTLOOK
During Friday’s session, we recommended going long in the index due to the rising trend line as shown above. In line with that view, Nifty rallied more than 200 points from that low. However, yet again we witnessed some hesitation on the higher side. The price structure indicates that both lower and upper ranges are contracting and taking shape of a triangle pattern. A breakout on either side from this pattern shall dictate the further trend.
On the upside, positive momentum might continue only above 10923 mark which could take the index towards psychological level of 11000. On broader time frame, the support of 10330 has now shifted to 10530. A decisive move below the same might end the bullish trend for the time being. Intermediate support is now at the lower range of triangle which is Friday’s low of 10628. At this juncture, we advise traders to remain stock specific but avoid over leveraged positions.
STOCK : TATAMOTORS – Daily Chart
STOCK OUTLOOK
TATAMOTORS has been one of the most underperformed stocks from the heavyweights in recent years and thus it’s in an oversold zone.
At this juncture, the stock confirmed breakout on the daily chart along with positive placement of RSI.
Along with the positive price action, we are also witnessing decent Open Interest built up in Tata motors future.
Thus, we advise traders to buy the stock between 175 - 165 with a stop loss of 155 for the target of 200.
Disclaimer)
Posted by Mehul Kothari | Published on 09-JAN-2019
MARKET RECAP
Yesterday’s session was more of a trader’s delight where in both bulls and bears got an opportunity to show off their skills and eventually the game belonged to the mighty bulls. The index Nifty spot, started the session with an upside gap following the overnight gains from US markets. However, selling pressure at higher levels dragged the index in red. Then after once again the markets recovered sharply and Nifty ended the session near day’s high with considerable gains. Meanwhile, the Nifty Bank index too participated in both the directions.
After quite some time, market breadth turned in the favour of declining counters due to selling in broader markets. On the sectoral front, apart from NIFTY METAL (-1.16%), NIFTY PSU BANK (-0.25%) and NIFTY MEDIA (-0.04%) all the other group indices closed in green. Amongst them, NIFTY FMCG (+1.01%) counters performed the best. From the F&O space, GMRINFRA (+4.95%), ICICIPRU (+4.57%) and IDBI (+4.09%) were the top performers.
MARKET OUTLOOK
Yesterday, we managed to short NIFTY BANK Futures (recommended shorts) and book the same with decent gains and then we recommended buying in Nifty fut at 10795 which too ended on a positive note. This means that the markets continue to remain in a range and the index nifty is on the verge of a breakout from a triangle pattern. A breakout on either side from this pattern shall dictate the further trend.
On the upside, positive momentum might continue only above 10880 mark which could take the index towards psychological level of 11000. On broader time frame, the support of 10530 has now shifted to 10620. A decisive move below the same might end the bullish trend for the time being. Intermediate support is now at the lower range of triangle which is 10730. At this juncture, we advise traders to remain stock specific but avoid over leveraged positions.
STOCK : ABFRL – Weekly Chart
STOCK OUTLOOK
During the month of Dec 2018, ABRFL confirmed a bullish ‘Pennant’ breakout and retested the breakout line.
At this juncture, stock is on the verge of another major breakout from the trend line as shown in the weekly chart along with the active pennant pattern.
The theoretical target for pattern comes around 270.
Thus, we advise traders to buy the stock above 214 with a stop loss of 194 for the target of 260.
Disclaimer)
Share Market Today - 9th January 2019
MARKET RECAP
Initially, it was a volatile session during the first half which turned out to be lack luster as the day progressed. The benchmark index started the session on a flat not and corrected sharply to fill previous day’s gap. During the process, Nifty registered an intraday low of 10733 but recovered sharply to trade above 10800 mark. Later on, the markets turned sideways to end with decent gain. Meanwhile, the Nifty Bank index outperformed by closing with a gain of more than 200 points.
The market breadth remained extremely strong from the beginning of the session but turned a bit neutral as the day progressed due to selling in broader markets. On the sectoral front, NIFTY PSU BANK (+2.77%) stocks underwent strong buying which was followed by NIFTY PHARMA (+1.51%) counters. From the F&O space, SREINFRA (+6.61%), SYNDIBANK (+4.76%) and RPOWER (+4.62%) were the top performers.
MARKET OUTLOOK
In latest session, the index Nifty spot remained in a trading range of its previous session and there is hardly any change in the price structure. Thus, we reiterate our view that the price structure indicates both lower and upper ranges are contracting and taking shape of a triangle pattern. A breakout on either side from this pattern shall dictate the further trend.
On the upside, positive momentum might continue only above 10923 mark which could take the index towards psychological level of 11000. On broader time frame, the support of 10330 has now shifted to 10530. A decisive move below the same might end the bullish trend for the time being. Intermediate support is now at the lower range of triangle which is Friday’s low of 10628. At this juncture, we advise traders to remain stock specific but avoid over leveraged positions.
STOCK : SPARC – Daily Chart
STOCK OUTLOOK
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Share Market Today - 8th January 2019
MARKET RECAP The week kicked off on an optimistic note on the D – street on the back of a sharp surge in the US markets during the final session of previous week. However, the benchmark indices failed to sustain at higher levels and closed with decent gains. The index Nifty spot registered an intraday high of 10836 but close below 10800 mark with a change of 44 points. Meanwhile, the Nifty bank index gained over 100 points. The market breadth remained extremely strong from the beginning of the session but turned a bit neutral as the day progressed due to selling in broader markets. On the sectoral front, apart from NIFTY PHARMA (-0.58%), NIFTY PSU BANK (-0.37%) and NIFTY METAL (-0.11%) all the other group indices closed in positive terrain. From the F&O space, IBULHSGFIN (-5.43%), DHFL (-4.44%) and VGUARD (-4.08%) were the worst performers.. MARKET OUTLOOK During Friday’s session, we recommended going long in the index due to the rising trend line as shown above. In line with that view, Nifty rallied more than 200 points from that low. However, yet again we witnessed some hesitation on the higher side. The price structure indicates that both lower and upper ranges are contracting and taking shape of a triangle pattern. A breakout on either side from this pattern shall dictate the further trend. On the upside, positive momentum might continue only above 10923 mark which could take the index towards psychological level of 11000. On broader time frame, the support of 10330 has now shifted to 10530. A decisive move below the same might end the bullish trend for the time being. Intermediate support is now at the lower range of triangle which is Friday’s low of 10628. At this juncture, we advise traders to remain stock specific but avoid over leveraged positions. STOCK : TATAMOTORS – Daily Chart STOCK OUTLOOK TATAMOTORS has been one of the most underperformed stocks from the heavyweights in recent years and thus it’s in an oversold zone. At this juncture, the stock confirmed breakout on the daily chart along with positive placement of RSI. Along with the positive price action, we are also witnessing decent Open Interest built up in Tata motors future. Thus, we advise traders to buy the stock between 175 - 165 with a stop loss of 155 for the target of 200. Disclaimer)
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Share Market Today - 10th January 2019
MARKET RECAP Yesterday’s session was more of a trader’s delight where in both bulls and bears got an opportunity to show off their skills and eventually the game belonged to the mighty bulls. The index Nifty spot, started the session with an upside gap following the overnight gains from US markets. However, selling pressure at higher levels dragged the index in red. Then after once again the markets recovered sharply and Nifty ended the session near day’s high with considerable gains. Meanwhile, the Nifty Bank index too participated in both the directions. After quite some time, market breadth turned in the favour of declining counters due to selling in broader markets. On the sectoral front, apart from NIFTY METAL (-1.16%), NIFTY PSU BANK (-0.25%) and NIFTY MEDIA (-0.04%) all the other group indices closed in green. Amongst them, NIFTY FMCG (+1.01%) counters performed the best. From the F&O space, GMRINFRA (+4.95%), ICICIPRU (+4.57%) and IDBI (+4.09%) were the top performers. MARKET OUTLOOK Yesterday, we managed to short NIFTY BANK Futures (recommended shorts) and book the same with decent gains and then we recommended buying in Nifty fut at 10795 which too ended on a positive note. This means that the markets continue to remain in a range and the index nifty is on the verge of a breakout from a triangle pattern. A breakout on either side from this pattern shall dictate the further trend. On the upside, positive momentum might continue only above 10880 mark which could take the index towards psychological level of 11000. On broader time frame, the support of 10530 has now shifted to 10620. A decisive move below the same might end the bullish trend for the time being. Intermediate support is now at the lower range of triangle which is 10730. At this juncture, we advise traders to remain stock specific but avoid over leveraged positions. STOCK : ABFRL – Weekly Chart STOCK OUTLOOK During the month of Dec 2018, ABRFL confirmed a bullish ‘Pennant’ breakout and retested the breakout line. At this juncture, stock is on the verge of another major breakout from the trend line as shown in the weekly chart along with the active pennant pattern. The theoretical target for pattern comes around 270. Thus, we advise traders to buy the stock above 214 with a stop loss of 194 for the target of 260. Disclaimer)