Share Market Today - 22nd May 2019



NIFTY Daily Chart 22nd May 2019

The index Nifty registered its all-time high of 11833 during yesterday’s session but failed to sustain higher. In the end it closed with a loss of more than 100 points to close near 11700 mark. Meanwhile, the Nifty Bank index lost around 450 points.

On the sectoral front, all the group indices closed in negative terrain. With regards to losers, NIFTY AUTO (-2.52%) and NIFTY MEDIA (-2.32%) stocks were the worst performers. From the F&O space, TATAMOTORS (-7.03%), DISHTV (-6.17%) and IDBI (-5.94%) were the laggards.


Although we witnessed a fresh breakout in NIFTY Spot at all time high but the index failed to sustain at higher level which resulted in a candlestick pattern which is not so encouraging for the bulls. It resembles a bearish DCC (Dark Cloud Cover) which indicates some profit booking. Thus, going ahead a move below yesterday’s low of 11682 might extend this profit booking towards 11590. Overall, we maintain our broader bullish stance and thus advise traders to go long on a decent fall. The stop loss for long positions in index should be placed below 11400 and on the upside, index has potential to sneak above 12000 mark.

On the upside, above 11183 would negate the DCC pattern which would pull the index towards our expected target.


Indigo Weekly Chart 22nd May 2019

Outlook : Bearish

  • The given above weekly chart of INDIGO depicts that the stock has been trading in a broadening kind of pattern since the year 2015
  • This pattern resembles a ‘Broadening Top’ formation and as per the same the stock could proceed towards its lower end in the coming months
  • Even the placement of weekly RSI shows top out sign
  • Thus, trader holding long positions in the stock should exit the same on every rise towards 1500 - 1600
  • The view would get negated on a weekly close above 1650 and on the downside the stock has potential to test 1200 in the coming weeks


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Share Market Today - 24th May 2019

NIFTY Daily CHART : It was an action packed session on the D – Street where a history was created with Nifty crossing 12K mark and BSE SENSEX reaching 40K mark. On the other hand, MODIJI led BJP displayed a clean sweep in election results once again. As a result, the index reached its new peak but the moment was short lived. Some profit booking at higher levels forced NIFTY to lose more than 300 points from its peak. Meanwhile, the NIFTY BANK index cleared the 31K mark but closed well below the same. As the day progressed, the market breadth turned in the favor of declining counters which indicated profit booking in individual stocks. On the sectoral front, apart from NIFTY MEDIA (+1.32%) and NIFTY REALTY (+0.47%) all the other group indices closed in negative terrain. With regards to losers, NIFTY FMCG (-1.73%) and NIFTY METAL (-1.48%) stocks were the worst performers. From the F&O space, DISHTV (+6.00%), ADANIPORTS (+5.75%) and BHARATFIN (+5.68%) were the leaders. MARKET OUTLOOK Until yesterday we were maintain our bullish stance on the markets and expected Nifty to test 12000 – 12000 zone. Although Nifty sneaked above 12000 mark but unfortunately closed well below the same. This was very much in line with our view to book profits once the index opens higher. Going ahead, we expect 11600 to act as intermediate support for the markets. Below the same there is a major gap on the daily chart which could get filled. On the upside, a move above 11800 might bring some positive action in the markets. Since the event has now unfolded; we expect some consolidation in the market and hence advise traders to remain light until there is a clear direction.Disclaimer)

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Share Market Today - 21st May 2019

NIFTY Daily CHART : It was a historical session for the domestic markets since the benchmark indices posted one of the biggest single day gains of recent years. The markets started the session with a huge upside gap following the exit polls for election 2019 which indicated a clear majority for BJP led NDA. The index Nifty almost attempted for a new life high to close above 11800 mark with a massive gain of 421 points. Meanwhile, the Nifty Bank index surged more than 1300 points. It was a broad based buying since morning which resulted in one sided market breadth in the favor of advancing counters. On the sectoral front, all the group indices closed in positive terrain. With regards to gainers, NIFTY PSU BANK (+7.88%) and NIFTY REALTY (+5.72%) stocks were the biggest performers. From the F&O space, ADANIENT (+29.42%), RPOWER (+19.17%) and RELINFRA (+14.98%) were the leaders. MARKET OUTLOOK As shown on the daily chart, NIFTY is on the verge of a fresh breakout from its all-time high of 11856. Going ahead, a move above the same might extend the gains towards 12000 and above levels. Traders holding long positions in index futures are advised to revise their stop loss below 11580 (in spot). In case of any consolidation or profit booking, 11750 – 11690 levels might act as intermediate support where the buying could remerge. SBIN : WEEKLY CHART Outlook : Bullish Last week we recommended SBIN when it was trading near 315 mark. We also discussed about the conformation of ‘Symmetrical Triangle’ pattern on the weekly chart. In line with our view the stock has already reached near the given target of 350. However, at this juncture the stock is poised to clear all-time high. A close above 350 would open doors for 390. Thus, keep holding longs in SBIN with a revised stop 324.   Disclaimer)

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