The week began on a pessimistic note for the domestic markets despite the stable global cues. The benchmark indices plunged more than a percent during the session with heavy selling in individual stocks. The index NIFTY breached support of 11750; lost more than 150 points and closed well below 11700 mark. Meanwhile, the NIFTY BANK index tumbled around 350 points from its previous close.
Right from the beginning, market breadth remained in the favour of declining counters which indicates broad based selloff. On the sectoral front, none of the group indices managed to close in positive terrain. From the losers, NIFTY METAL (-2.87%) and NIFTY AUTO (-1.69%) counters were the biggest laggards. From the F&O space, JETAIRWAYS (-34.28%), PCJEWELLER (-18.77%) and DHFL (-9.37%) were the worst performers.
OUTLOOK
Finally we have a decisive range breakout in the markets and unfortunately that breakdown is on the downside. Yes, after three consecutive weeks NIFTY breached the short term support of 11750 and closed well below the same. With this we expected the index to meet 11600 mark which is the beginning of gap area as displayed above. The index has already registered low of 11657 during yesterday’s session. Now, we a negative crossover in ADX we expect the index to meet 11600 mark in the coming sessions. However, a breach of the same might force the index to fill the gap towards 11400 mark. On the upside, 11720 might act as an intermediate resistance buy aggressive buying can now happen only above 11850 mark.
ESCORTS : BEARISH BELOW 541
Outlook :
Given above is the monthly chart of ESCORTS which depicts that the stock is on the verge of a major breakdown.
Since the year 2017, the stock has not breached 541 mark and a move below the same could lead to panic.
The price action is accompanied with the negative placement of monthly RSI.
Thus we advise traders to go exit long in the stock below 541 for the target of 420 with a stop of 600.
Posted by Mehul Kothari | Published on 24-JUN-2019
NIFTY DAILY CHARTThe domestic markets ended its three days winning streak during yesterday’s session following the mixed global cues. The index Nifty spot stared the session with a downside gap and tumbled as the day progress to loose around 100 points from previous close. However, a partial recovery during the second half helped the index to close with a loss of around 50 odd points. On the other hand, NIFTY BANK index remained under pressure and lost around 300 points.
Right from the beginning, the market breadth remained in the favour of declining counters. On the sectoral front, apart from NIFTY METAL (+0.39%) and NIFTY FMCG (+0.22%) all the other group indices failed to close in green. From the losers, NIFTY REALTY (-2.05%) and NIFTY AUTO (-1.13%) pack were the biggest laggards.
OUTLOOK
After three consecutive narrow range bodies on the daily chart of Nifty spot; we are now witnessing a decisive candlestick but in red. Thus yesterday’s low of 11866 would now act as an initial trigger on the downside. A move below the same might result in some profit booking in the coming session. However, the overall structure remains strong till the time Nifty trades above 11750 mark.
On the upside, 11925 – 11965 level is likely to act as intermediate resistance. Aggressive buying can happen only above 12000 mark.
Disclaimer)
Posted by Mehul Kothari | Published on 24-JUN-2019
NIFTY Daily CHART :
It was a high volatile session yesterday on the D – Street where we witnessed a rollercoaster ride in the benchmark indices. The index NIFTY initially started the session with an upside gap following the positive global cues. Then it gained strength to surge more than 100 points during the first half. However, heavy selloff during the second half forced the index to enter negative territory and ultimately close extremely flat. During this chaos, the NIFTY BANK index showed some resilience and ended positive.
Since last few sessions we have been observing severe selling pressure in individual stocks due to which the market breadth is constantly in the favor of declining counters. On the sectoral front, NIFTY REALTY (+1.10%) and NIFTY METAL (+0.40%) stocks outperformed other group indices. On the other hand, NIFTY PHARMA (-1.60%) and NIFTY AUTO (-1.11%) counters were the biggest laggards. From the F&O space, JISLJALEQS (-31.09%), ARVIND (-15.38%) and IRB (-10.67%) were the worst performers.
Outlook
In line with our view, yesterday the index retested 11800 mark after sustaining above the immediate resistance of 11720. However, the selling forced Nifty to almost meet 11600 which was too on an expected line. Now the index is resting above the 50 DEMA. We reiterate our view that 11650 – 11600 could be a buying area because it is the potential reversal zone of bullish AB=CD harmonic pattern.
A breach of 11600 mark could full the index towards 11450 which shall fill the gap area. On the upside, a move above 11730 could result in some relief upside towards 11800 mark.
Disclaimer)
Share Market Today - 18th June 2019
The week began on a pessimistic note for the domestic markets despite the stable global cues. The benchmark indices plunged more than a percent during the session with heavy selling in individual stocks. The index NIFTY breached support of 11750; lost more than 150 points and closed well below 11700 mark. Meanwhile, the NIFTY BANK index tumbled around 350 points from its previous close.
Right from the beginning, market breadth remained in the favour of declining counters which indicates broad based selloff. On the sectoral front, none of the group indices managed to close in positive terrain. From the losers, NIFTY METAL (-2.87%) and NIFTY AUTO (-1.69%) counters were the biggest laggards. From the F&O space, JETAIRWAYS (-34.28%), PCJEWELLER (-18.77%) and DHFL (-9.37%) were the worst performers.
OUTLOOK
Finally we have a decisive range breakout in the markets and unfortunately that breakdown is on the downside. Yes, after three consecutive weeks NIFTY breached the short term support of 11750 and closed well below the same. With this we expected the index to meet 11600 mark which is the beginning of gap area as displayed above. The index has already registered low of 11657 during yesterday’s session. Now, we a negative crossover in ADX we expect the index to meet 11600 mark in the coming sessions. However, a breach of the same might force the index to fill the gap towards 11400 mark.
On the upside, 11720 might act as an intermediate resistance buy aggressive buying can now happen only above 11850 mark.
ESCORTS : BEARISH BELOW 541
Outlook :
Disclaimer
Previous Story
Share Market Today - 13th June 2019
NIFTY DAILY CHARTThe domestic markets ended its three days winning streak during yesterday’s session following the mixed global cues. The index Nifty spot stared the session with a downside gap and tumbled as the day progress to loose around 100 points from previous close. However, a partial recovery during the second half helped the index to close with a loss of around 50 odd points. On the other hand, NIFTY BANK index remained under pressure and lost around 300 points. Right from the beginning, the market breadth remained in the favour of declining counters. On the sectoral front, apart from NIFTY METAL (+0.39%) and NIFTY FMCG (+0.22%) all the other group indices failed to close in green. From the losers, NIFTY REALTY (-2.05%) and NIFTY AUTO (-1.13%) pack were the biggest laggards. OUTLOOK After three consecutive narrow range bodies on the daily chart of Nifty spot; we are now witnessing a decisive candlestick but in red. Thus yesterday’s low of 11866 would now act as an initial trigger on the downside. A move below the same might result in some profit booking in the coming session. However, the overall structure remains strong till the time Nifty trades above 11750 mark. On the upside, 11925 – 11965 level is likely to act as intermediate resistance. Aggressive buying can happen only above 12000 mark. Disclaimer)
Next Story
Share Market Today - 20th June 2019
NIFTY Daily CHART : It was a high volatile session yesterday on the D – Street where we witnessed a rollercoaster ride in the benchmark indices. The index NIFTY initially started the session with an upside gap following the positive global cues. Then it gained strength to surge more than 100 points during the first half. However, heavy selloff during the second half forced the index to enter negative territory and ultimately close extremely flat. During this chaos, the NIFTY BANK index showed some resilience and ended positive. Since last few sessions we have been observing severe selling pressure in individual stocks due to which the market breadth is constantly in the favor of declining counters. On the sectoral front, NIFTY REALTY (+1.10%) and NIFTY METAL (+0.40%) stocks outperformed other group indices. On the other hand, NIFTY PHARMA (-1.60%) and NIFTY AUTO (-1.11%) counters were the biggest laggards. From the F&O space, JISLJALEQS (-31.09%), ARVIND (-15.38%) and IRB (-10.67%) were the worst performers. Outlook In line with our view, yesterday the index retested 11800 mark after sustaining above the immediate resistance of 11720. However, the selling forced Nifty to almost meet 11600 which was too on an expected line. Now the index is resting above the 50 DEMA. We reiterate our view that 11650 – 11600 could be a buying area because it is the potential reversal zone of bullish AB=CD harmonic pattern. A breach of 11600 mark could full the index towards 11450 which shall fill the gap area. On the upside, a move above 11730 could result in some relief upside towards 11800 mark. Disclaimer)