As expected the domestic markets witnessed their second round of selling yesterday following the weak global cues. The benchmark index Nifty started the week on a pessimistic note as suggested by the SGX NIFTY and traded under pressure throughout the day to eventually close with a loss of more than 100 points. During the process, Nifty almost tested 11300 mark. On the other hand, Nifty Bank index eroded more than 300 points from its previous close.
The selling was completely broad based since the market breadth remained extremely negative on closing basis. On the sectoral front, none of the group indices managed to close in green. From the losers, NIFTY MEDIA (-2.76%) and NIFTY REALTY (-1.42%) were the most beaten down stocks. From the F&O space, JETAIRWAYS (+14.45%), RECLTD (+8.02%) and IOC (+5.65%) were the biggest gainers.
MARKET OUTLOOK
In our latest weekly report we discussed about the ‘Doji’ candlestick pattern on Nifty spot which suggested a pause from the recent rally. In line with the same, yesterday Nifty sneaked below previous week’s low and closed with significant gains. Thus we reiterate our view that Nifty is poised to retest lower levels of 11200 – 11100 which is also a gap area on the daily chart. Till the time, Nifty stays below 11520 level we can assume it is a sell on rise market for the short term.
Traders can exit their long positions on any bounce from here on or they can go short too for the mentioned lower levels. On the other hand, since the major trend is bullish investors are advised to start looking for bargain hunting once the index drift towards 11200 or below levels.
Posted by Mehul Kothari | Published on 25-MAR-2019
NIFTY
Market Recap and Outlook
Finally the index NIFTY spot ended its winning spree after a rally of four consecutive weeks which means that the index closed in red after rising from 10585 to 11575 (almost 1000 points). This dip was anyways expected after such a humongous rally since the charts already started showing exhaustion in the past couple of sessions. Now at this juncture, the weekly chart displays a ‘Doji’ candlestick pattern which indicates indecisiveness prevailing at current levels. Thus, going ahead a sustainable move below 11400 might result in some profit booking which can drag the index back to 11200 – 11100 zone. We have already initiated a buy recommendation in 11500 PE near to 48 mark for the upside target of 100 and above (which is still ON).
For the upside momentum to resume, Nifty has to clear the recent high of 11573 which can pull it towards the life high. No doubt the major trend is bullish but at the same time traders are advised to start booking their leveraged positions.Disclaimer)
Posted by Mehul Kothari | Published on 26-MAR-2019
MARKET RECAP
KEY MARKET DATA POINTS
The bulls once again gave a pleasant surprise by a stunning rally during yesterday’s session. The domestic markets recovered more than 70% of their loss which occurred during the past two sessions. The index Nifty spot almost retested 11500 mark from Monday’s low of 11312. The gain was mainly lead by Nifty Bank index which rallied around 3.5% in a single session by reaching near the milestone of 30000.
Right from the start, market breadth remained in the favour of advancing counters. Contrary to previous session, almost all the group indices ended with decent gains except NIFTY IT (-0.39%). From the gainers, NIFTY PSUBANK (+3.13%) and NIFTY PVT BANK (+2.09%) were under lime light. From the F&O space, GMRINFRA (+15.74%), JETAIRWAYS (+13.60%), and RELCAPITAL (+8.78%) were the biggest gainers.
MARKET OUTLOOK
As per our previous report, we expected the index Nifty to drift lower before resuming its major bullish trend. However, to our surprise Nifty surged more than 100 points and filled the previous gap on the daily chart. During the course, we managed to participate in the rally by recommending buy in index call options. Now, the index Nifty is hovering around its recent peak of 11573 and looking at the risk reward ratio the condition seems to be lucrative to go short. If the index failed to breach the peak then it could retest 11300 – 11200 zone.
We again advise traders to exit their long positions on any bounce from here. On the other hand, since the major trend is bullish investors are advised to start looking for bargain hunting once the index drift towards 11200 or below levels. The short term bearish view would be negated above 11573 which might take the index towards life high.
Disclaimer)
Share Market Today - 26th March 2019
MARKET RECAP
As expected the domestic markets witnessed their second round of selling yesterday following the weak global cues. The benchmark index Nifty started the week on a pessimistic note as suggested by the SGX NIFTY and traded under pressure throughout the day to eventually close with a loss of more than 100 points. During the process, Nifty almost tested 11300 mark. On the other hand, Nifty Bank index eroded more than 300 points from its previous close.
The selling was completely broad based since the market breadth remained extremely negative on closing basis. On the sectoral front, none of the group indices managed to close in green. From the losers, NIFTY MEDIA (-2.76%) and NIFTY REALTY (-1.42%) were the most beaten down stocks. From the F&O space, JETAIRWAYS (+14.45%), RECLTD (+8.02%) and IOC (+5.65%) were the biggest gainers.
MARKET OUTLOOK
In our latest weekly report we discussed about the ‘Doji’ candlestick pattern on Nifty spot which suggested a pause from the recent rally. In line with the same, yesterday Nifty sneaked below previous week’s low and closed with significant gains. Thus we reiterate our view that Nifty is poised to retest lower levels of 11200 – 11100 which is also a gap area on the daily chart. Till the time, Nifty stays below 11520 level we can assume it is a sell on rise market for the short term.
Traders can exit their long positions on any bounce from here on or they can go short too for the mentioned lower levels. On the other hand, since the major trend is bullish investors are advised to start looking for bargain hunting once the index drift towards 11200 or below levels.
Disclaimer
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Weekly BSE & NSE Gainers & Losers - 18th Mar to 22nd Mar 2019.
NIFTY Market Recap and Outlook Finally the index NIFTY spot ended its winning spree after a rally of four consecutive weeks which means that the index closed in red after rising from 10585 to 11575 (almost 1000 points). This dip was anyways expected after such a humongous rally since the charts already started showing exhaustion in the past couple of sessions. Now at this juncture, the weekly chart displays a ‘Doji’ candlestick pattern which indicates indecisiveness prevailing at current levels. Thus, going ahead a sustainable move below 11400 might result in some profit booking which can drag the index back to 11200 – 11100 zone. We have already initiated a buy recommendation in 11500 PE near to 48 mark for the upside target of 100 and above (which is still ON). For the upside momentum to resume, Nifty has to clear the recent high of 11573 which can pull it towards the life high. No doubt the major trend is bullish but at the same time traders are advised to start booking their leveraged positions.Disclaimer)
Next Story
Share Market Today - 27th March 2019
MARKET RECAP KEY MARKET DATA POINTS The bulls once again gave a pleasant surprise by a stunning rally during yesterday’s session. The domestic markets recovered more than 70% of their loss which occurred during the past two sessions. The index Nifty spot almost retested 11500 mark from Monday’s low of 11312. The gain was mainly lead by Nifty Bank index which rallied around 3.5% in a single session by reaching near the milestone of 30000. Right from the start, market breadth remained in the favour of advancing counters. Contrary to previous session, almost all the group indices ended with decent gains except NIFTY IT (-0.39%). From the gainers, NIFTY PSUBANK (+3.13%) and NIFTY PVT BANK (+2.09%) were under lime light. From the F&O space, GMRINFRA (+15.74%), JETAIRWAYS (+13.60%), and RELCAPITAL (+8.78%) were the biggest gainers. MARKET OUTLOOK As per our previous report, we expected the index Nifty to drift lower before resuming its major bullish trend. However, to our surprise Nifty surged more than 100 points and filled the previous gap on the daily chart. During the course, we managed to participate in the rally by recommending buy in index call options. Now, the index Nifty is hovering around its recent peak of 11573 and looking at the risk reward ratio the condition seems to be lucrative to go short. If the index failed to breach the peak then it could retest 11300 – 11200 zone. We again advise traders to exit their long positions on any bounce from here. On the other hand, since the major trend is bullish investors are advised to start looking for bargain hunting once the index drift towards 11200 or below levels. The short term bearish view would be negated above 11573 which might take the index towards life high. Disclaimer)