| A breach of 5260 implies further weakness ahead. The level of 5127 would now be the next support for Nifty.
Nifty opened with a downward price gap and remained deep in the red for the entire session to conclude with a loss of 71 points at 5235. Amongst the sectoral indices the BSE Realty and Oil & Gas indices were the outperformers whereas BSE It and Teck indices lost the most. The level of 5260 was breached today which induced further downside till 5217. Today’s movement has confirmed a bearish break down of an important trend line and the momentum oscillators have now registered a sell. Thus on a bounce back Nifty may face severe resistance near 5260 – 5280 range and Nifty may further succumb to selling pressure and come down to the level of 5127 in next few sessions. The trend has now turned weak at least for the short term and a decline till 5127 appears likely. |
Category: tech
Nifty near make or break level.
Nifty opened weak and continued to trade with a negative bias throughout the session to conclude the day with a loss of 0.72% at 5205. Amongst the sectoral indices the BSE Auto and CD indices were the outperformers whereas BSE Bankex index lost the most.
Nifty was unable to clear the resistance of 5260 and opened negative. It traded with a negative bias throughout the session and concluded at 5205, just above the important support of 5190. It is now placed near a make or break level. A move above 5260 would be a positive sign and would ensure higher levels once Nifty sustains above 5300.
On the contrary the level of 5170 is now an important support. A break down below 5170 would ensure further declines till at least 5130. The level of 5090 is an important positional support for Nifty and a trend reversal level.
Present upmove may face resistance near 5260. Nifty near make or break level.
Nifty opened negative but found support at lower levels and bounced back to end with a gain of 23 points at 5216. Amongst the sectoral indices the BSE Metal and CG indices were the outperformers whereas BSE HC and Oil & Gas indices lost the most.
Nifty found support near its 200 Day EMA despite the breach of 5190 and bounce back to end with a gain of 23 points at 5216. We had indicated a possibility of a bounce back but the level of 5260 may act as a resistance for Nifty. Nifty may continue to remain under selling pressure till the time it trades below 5300.
The level of 5169 is now an important support. Any breach of this level may induce further sell off till 5127 and lower. Only sustenance above 5300 would indicate a strong upside which may take it to 5400 and higher.
Weekly wrap
Nifty view for the week
Short term uptrend is now threatened as 5240 is breached on the chart. However 5190 is a silver lining for the bulls
Nifty needs to cross 5320 to resume its uptrend, in the absence of which it can come down
to 5165 once it trades below 5190.
Sector Trend Reader
After 5 weeks sustainable uptrend, BSE Sensex took a halt in last week and after forming high of 17,630 reacted up to 17,181 level. The downward price gap on daily chart in the range between 17,342 & 17,467 may provide strong resistance to Sensex if any intraday bounce back is observed. On the downside, 17,100 – 17,000 will act as strong support where 200 – DMA is also located.
Last week all the sector indices closed negative with BSE IT as major loser. Nosector specific outlook in the current week.
Debt Market weekly
10 Year Yield likely to move in the range of 8.05% to 8.15% levels.
Commodity Pick of the week:Copper
Strategy: Buy above 427.20 with stop loss below 423.50 Target 432, 434.
Copper_Commodities_POW_160712.pdf
Weekly_Technical_View_160712.pdf
Debt_Market_Report_140712.pdf
Sector_Trend_Reader_160712.pdf
Nifty may remain under selling pressure till the time it trades below 5300. However 5190 continues to remain an important support.
Nifty opened positive but slide in the negative territory to end the day with a loss of 4 points at 5192.Amongst the sectoral indices the BSE HC and FMCG indices were the outperformers whereas BSE Auto and Realty indices lost the most.
Nifty marginally breached the support level of 5190 but ended above the support. In the immediate term if there is any bounce then the level of 5260 would act as a resistance ore Nifty. Nifty trades near a make or break level of 5190 and a decisive breach below this level or support activity near it will decide the short term trend of the market. However, till the time 5300 is not conquered Nifty would continue to remain under selling pressure. Only sustenance above 5300 can take it higher till 5345 and beyond that 5400.
Nifty may remain under selling pressure till the time it trades below 5300. However 5190 is an important support.
Nifty opened weak and remained highly range bound throughout the day to conclude with a loss of 0.15% at 5227. It was down 1.69% on a week over week basis. Amongst the sectoral indices the BSE FMCG and Oil & Gas indices were the outperformers whereas BSE CD and Realty indices were down the most.
Recovery attempts in intraday trade failed to take the Nifty higher and it concluded with a loss of 0.15% at 5227. In the immediate term the level of 5190 is now a critical support, If Nifty manage to sustain above 5190 then the downside may still be contained. However if 5190 is not respected then we may see it slide down further till 5150 to 5130 range.
On the higher side the level of 5260 to 5280 would act as resistance for Nifty and it may continue to remain under selling pressure till the time it trades below 5300. Only sustenance above 5300 can take it higher till 5345 and beyond that 5400.
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