The domestic market maintained its upside journey in line with our view but the upside was more of a grind rather than a swift move. The index Nifty sneaked above 11700 during the first half but closed below the same with decent gains. On the other hand, Nifty Bank displayed greater strength to close the session with a surge of around 160 points. For the second consecutive session, we witnessed a negative market breadth despite the positive closing. This displays that the internal strength of the market is still not up to the mark. On the sectoral front, the NIFTY AUTO (-1.02%) and NIFTY PHARMA (-0.21%) were the only group of stocks which ended with some loss. Among the list of gainers NIFTY PSUBANK (+1.12%) and NIFTY FMCG (+0.84%) were the top performers. From the F&O space, DHFL (+15.12%), EQUITAS (+6.26%) and MCX (+5.50%) outperformed others. As discussed in the previous edition of Nivesh Overview, we expected to 11680 – 11700 to act as a hurdle for the index. Yesterday, Nifty failed to sustain above 11700 mark. However, we maintain our stance that there could be more upside towards the gap area of 11750. There, one needs to start booking profits and wait for further confirmation to go long. On the downside, 11650 - 11600 are likely to act as support as per the intraday charts as well as options data. Traders are advised to keep holding the recommended 11600 CE options (July Month) which is trading around 115. We maintain our target of 180 in that with a stop below 25.
Posted by Mehul Kothari | Published on 24-JUL-2019
It has been back to back five trading sessions wherein the domestic markets are busy consolidating in a range along with stock specific action. Yesterday, the index Nifty started the session within upside gap but turned choppy to close the day with decent gain. Meanwhile, the Nifty Bank index underperformed the markets and remained under pressure. Eventually the index closed with a loss of around 150 points.The market breadth turned negative as the day progressed due to selloff in individual stocks. On the sectoral front, the NIFTY PSUBANK (-2.56%) and NIFTY PVT BANK (-0.60%) counters were the sentiment dampeners. After quite some time, the defensive packs of NIFTY IT (+2.85%) and NIFTY PHARMA (+1.07%) displayed their true strength. From the F&O space, DISHTV (+8.48%), INFY (+6.97%) and PEL (+6.14%) outperformed others.
Since last five sessions, the index is stuck in a broad range of 11450 – 11650 and we witnessed some sector rotation happening. As of now, we reiterate our view that only a move above or below the range might dictate the further trend of the markets. Since our in house view stands bullish unless NIFTY breaches 11400 mark; we recommend going long in 11600 CE options at 76 with a stop below 25 for an upside target of 180. On the downside, the intermediate supports are placed at 11530 – 11460 levels. However, a close above 11600 could result in some short covering towards 11700 – 11750. On the stock front, we expect some pullback in IT stocks which includes mainly TCS and TECHM.Disclaimer
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Posted by Mehul Kothari | Published on 24-JUL-2019
NIFTY DAILY CHARTAfter a relief upside of three consecutive days, yesterday was another disappointing session for the domestic markets. The index Nifty spot remained under pressure right from the beginning and drifted lower as the day progressed. Eventually it closed the day with a loss of around 90 points. Meanwhile, the Nifty bank index too plunged around 300 points from its previous close.Yet again the market breadth remained in the favour of declining counters which indicates broad based selling. On the sectoral front, the NIFTY MEDIA (+0.23%) and NIFTY FINSERV (+0.11%) were the only group of stocks which ended with some gains. Among the list of losers NIFTY PSUBANK (-3.18%) and NIFTY AUTO (-2.74%) were the worst performers. From the F&O space, COLPAL (+4.18%), WIPRO (+3.35%) and DISHTV (+3.32%) outperformed others.The selloff during previous session forced the index to breach the intermediate support of 11600 and Nifty has closed an inch below the same. Currently it is hovering near the support 11530 which is the placement of rising trend line. A breach of the same could trigger fresh selling in the market. On the downside, 11530 - 11500 might act as support in the coming session. In case of upside from here on, 11650 – 11700 will be a supply zone for the markets. Traders are advised to keep holding the recommended 11600 CE options (July Month) which is trading around 65. We maintain our target of 180 in that with a stop below 25.
MCDOWELL : BULLISH
The stocks recently confirmed a breakout from the trend line on the weekly chart as displayed above
Similar kind of breakout during Oct 2017 resulted in a sharp upside
The price action is accompanied with positive placement of weekly RSI and ADX indicator
Traders are advised to but the stock between 600 – 590 with a stop of 565 for an upside target of 660
Disclaimer)
Share Market Today - 18th July 2019
The domestic market maintained its upside journey in line with our view but the upside was more of a grind rather than a swift move. The index Nifty sneaked above 11700 during the first half but closed below the same with decent gains. On the other hand, Nifty Bank displayed greater strength to close the session with a surge of around 160 points.
For the second consecutive session, we witnessed a negative market breadth despite the positive closing. This displays that the internal strength of the market is still not up to the mark. On the sectoral front, the NIFTY AUTO (-1.02%) and NIFTY PHARMA (-0.21%) were the only group of stocks which ended with some loss. Among the list of gainers NIFTY PSUBANK (+1.12%) and NIFTY FMCG (+0.84%) were the top performers. From the F&O space, DHFL (+15.12%), EQUITAS (+6.26%) and MCX (+5.50%) outperformed others.
As discussed in the previous edition of Nivesh Overview, we expected to 11680 – 11700 to act as a hurdle for the index. Yesterday, Nifty failed to sustain above 11700 mark. However, we maintain our stance that there could be more upside towards the gap area of 11750. There, one needs to start booking profits and wait for further confirmation to go long.
On the downside, 11650 - 11600 are likely to act as support as per the intraday charts as well as options data. Traders are advised to keep holding the recommended 11600 CE options (July Month) which is trading around 115. We maintain our target of 180 in that with a stop below 25.
Disclaimer
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Share Market Today - 16th July 2019
It has been back to back five trading sessions wherein the domestic markets are busy consolidating in a range along with stock specific action. Yesterday, the index Nifty started the session within upside gap but turned choppy to close the day with decent gain. Meanwhile, the Nifty Bank index underperformed the markets and remained under pressure. Eventually the index closed with a loss of around 150 points.The market breadth turned negative as the day progressed due to selloff in individual stocks. On the sectoral front, the NIFTY PSUBANK (-2.56%) and NIFTY PVT BANK (-0.60%) counters were the sentiment dampeners. After quite some time, the defensive packs of NIFTY IT (+2.85%) and NIFTY PHARMA (+1.07%) displayed their true strength. From the F&O space, DISHTV (+8.48%), INFY (+6.97%) and PEL (+6.14%) outperformed others. Since last five sessions, the index is stuck in a broad range of 11450 – 11650 and we witnessed some sector rotation happening. As of now, we reiterate our view that only a move above or below the range might dictate the further trend of the markets. Since our in house view stands bullish unless NIFTY breaches 11400 mark; we recommend going long in 11600 CE options at 76 with a stop below 25 for an upside target of 180. On the downside, the intermediate supports are placed at 11530 – 11460 levels. However, a close above 11600 could result in some short covering towards 11700 – 11750. On the stock front, we expect some pullback in IT stocks which includes mainly TCS and TECHM.Disclaimer )
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Share Market Today - 19th July 2019
NIFTY DAILY CHARTAfter a relief upside of three consecutive days, yesterday was another disappointing session for the domestic markets. The index Nifty spot remained under pressure right from the beginning and drifted lower as the day progressed. Eventually it closed the day with a loss of around 90 points. Meanwhile, the Nifty bank index too plunged around 300 points from its previous close.Yet again the market breadth remained in the favour of declining counters which indicates broad based selling. On the sectoral front, the NIFTY MEDIA (+0.23%) and NIFTY FINSERV (+0.11%) were the only group of stocks which ended with some gains. Among the list of losers NIFTY PSUBANK (-3.18%) and NIFTY AUTO (-2.74%) were the worst performers. From the F&O space, COLPAL (+4.18%), WIPRO (+3.35%) and DISHTV (+3.32%) outperformed others.The selloff during previous session forced the index to breach the intermediate support of 11600 and Nifty has closed an inch below the same. Currently it is hovering near the support 11530 which is the placement of rising trend line. A breach of the same could trigger fresh selling in the market. On the downside, 11530 - 11500 might act as support in the coming session. In case of upside from here on, 11650 – 11700 will be a supply zone for the markets. Traders are advised to keep holding the recommended 11600 CE options (July Month) which is trading around 65. We maintain our target of 180 in that with a stop below 25. MCDOWELL : BULLISH The stocks recently confirmed a breakout from the trend line on the weekly chart as displayed above Similar kind of breakout during Oct 2017 resulted in a sharp upside The price action is accompanied with positive placement of weekly RSI and ADX indicator Traders are advised to but the stock between 600 – 590 with a stop of 565 for an upside target of 660 Disclaimer)