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.
Posted by Mehul Kothari | Published on 20-MAR-2019
Market Recap
Although the domestic markets traded with positive bias during yesterday’s session but we witnessed some consolidation in the broader indices. The index Nifty spot got stuck in a narrow range of 50 points throughout the day to close extremely flat. On the other hand, Nifty bank index outperformed a bit by positing decent gains. It’s been almost eight consecutive sessions where the markets have been rising.
Eventually, we observed some pressure at higher levels which resulted in negative market breadth. On the sectoral front, there was a mixed picture wherein NIFTY MEDIA (-3.38%) and NIFTY AUTO (-1.42%) stocks ended in red. On the other hand, NIFTY REALTY (+2.43%) and NIFTY IT (+0.67%) stocks were the top performers. From the F&O space, INDIGO (+6.72%), IDEA (+6.33%) and IBULHSGFIN (+4.93%) were the biggest gainers.
Market Outlook
Despite some selling in the broader markets Nifty managed to sustain above 11500 mark. Also, as discussed in our previous report that Nifty has cleared the hurdle of 161.8% Fibonacci retracement level of the previous move as shown in the chart. Thus, we reiterate our view that bullish momentum might continue towards new life high till the time Nifty sustains above 11400 mark. While doing the same, 11600 – 11680 might act as an intermediate resistance for the bulls.
No doubt the major trend is bullish but at the same time traders are advised to start booking their leveraged positions. On the downside 11400 might act as an intermediate support for the coming sessions. A move below the same might halt the ongoing momentum for the time being.Disclaimer)
Posted by Mehul Kothari | Published on 26-MAR-2019
MARKET RECAPAs 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 OUTLOOKIn 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)
Weekly BSE & NSE Gainers & Losers - 18th Mar to 22nd Mar 2019.
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
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Share Market Today - 22nd March 2019
Market Recap Although the domestic markets traded with positive bias during yesterday’s session but we witnessed some consolidation in the broader indices. The index Nifty spot got stuck in a narrow range of 50 points throughout the day to close extremely flat. On the other hand, Nifty bank index outperformed a bit by positing decent gains. It’s been almost eight consecutive sessions where the markets have been rising. Eventually, we observed some pressure at higher levels which resulted in negative market breadth. On the sectoral front, there was a mixed picture wherein NIFTY MEDIA (-3.38%) and NIFTY AUTO (-1.42%) stocks ended in red. On the other hand, NIFTY REALTY (+2.43%) and NIFTY IT (+0.67%) stocks were the top performers. From the F&O space, INDIGO (+6.72%), IDEA (+6.33%) and IBULHSGFIN (+4.93%) were the biggest gainers. Market Outlook Despite some selling in the broader markets Nifty managed to sustain above 11500 mark. Also, as discussed in our previous report that Nifty has cleared the hurdle of 161.8% Fibonacci retracement level of the previous move as shown in the chart. Thus, we reiterate our view that bullish momentum might continue towards new life high till the time Nifty sustains above 11400 mark. While doing the same, 11600 – 11680 might act as an intermediate resistance for the bulls. No doubt the major trend is bullish but at the same time traders are advised to start booking their leveraged positions. On the downside 11400 might act as an intermediate support for the coming sessions. A move below the same might halt the ongoing momentum for the time being.Disclaimer)
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Share Market Today - 26th March 2019
MARKET RECAPAs 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 OUTLOOKIn 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)