After 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
Posted by Mehul Kothari | Published on 24-JUL-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)
Posted by Mehul Kothari | Published on 24-JUL-2019
NIFTY Daily CHART :
It was again a horrific week on the D – Street as the stocks continue to get butchered while the benchmarks closed near the week’s low. The index Nifty spot initially dragged itself higher towards 11700 mark during the first three sessions of the week. However, carnage of recent sessions forced the index to lose all its gain and close the week with a loss of -1.15%. During the process, Nifty reached 11400 mark. Meanwhile, the Nifty Bank index lost around -2.72% during the week. On the sectoral front, the NIFTY AUTO (-6.02%) and NIFTY PSUBANK (-5.05%) stocks were the worst performers while the NIFTY IT (+1.03%) stocks remained resilient. From the F&O space, RBLBANK (-21.92%), DHFL (-21.82%) and TATAELXI (-17.43%) shattered.At this juncture, all the expected supports have been broken. Nifty even filled the gap of exit polls by reaching 11420 mark. With all said and done, going ahead a move below 11400 would force the index to meet 11320 mark which is the 78.6% Fibonacci retracement level and also the placement of rising trend line as shown above. With regards to positional view, the structure is now not so encouraging. If the buying has to emerge it should emerge from here on or else we are heading for more correction going ahead. At this juncture the prudent strategy is to wait and watch. In case of upside from here on, 11530 - 11700 will be a supply zone for the markets. And the bullish trend will resume only above 11700 mark.
BAJFINANCE : BEARISH
After a stupendous rise, the stock has now entered in to a corrective phase.
The displayed breakdown resembles a bearish FLAG formation which has a target of around 3100.
Daily RSI is on the verge of breakdown and the stock has confirmed lower top and lower bottom.
Traders can sell the stock on rise between 3350 – 3400 with a stop of 3530 for the target of 3220 - 3070 in the coming months.
Disclaimer)
Share Market Today - 19th July 2019
NIFTY DAILY CHART
After 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
Disclaimer
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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 - 22nd July 2019
NIFTY Daily CHART : It was again a horrific week on the D – Street as the stocks continue to get butchered while the benchmarks closed near the week’s low. The index Nifty spot initially dragged itself higher towards 11700 mark during the first three sessions of the week. However, carnage of recent sessions forced the index to lose all its gain and close the week with a loss of -1.15%. During the process, Nifty reached 11400 mark. Meanwhile, the Nifty Bank index lost around -2.72% during the week. On the sectoral front, the NIFTY AUTO (-6.02%) and NIFTY PSUBANK (-5.05%) stocks were the worst performers while the NIFTY IT (+1.03%) stocks remained resilient. From the F&O space, RBLBANK (-21.92%), DHFL (-21.82%) and TATAELXI (-17.43%) shattered.At this juncture, all the expected supports have been broken. Nifty even filled the gap of exit polls by reaching 11420 mark. With all said and done, going ahead a move below 11400 would force the index to meet 11320 mark which is the 78.6% Fibonacci retracement level and also the placement of rising trend line as shown above. With regards to positional view, the structure is now not so encouraging. If the buying has to emerge it should emerge from here on or else we are heading for more correction going ahead. At this juncture the prudent strategy is to wait and watch. In case of upside from here on, 11530 - 11700 will be a supply zone for the markets. And the bullish trend will resume only above 11700 mark. BAJFINANCE : BEARISH After a stupendous rise, the stock has now entered in to a corrective phase. The displayed breakdown resembles a bearish FLAG formation which has a target of around 3100. Daily RSI is on the verge of breakdown and the stock has confirmed lower top and lower bottom. Traders can sell the stock on rise between 3350 – 3400 with a stop of 3530 for the target of 3220 - 3070 in the coming months. Disclaimer)