01-03-2016 - Index views

Nifty :

Nifty has closed at 7008.95. Budget came & gone. Throughout day, the volatility has killed the traders on both the side. We had mentioned the levels to trade on closing basis. As we have stated, small up move is possible, it came and ultimately market resumed its own movement & started giving up all the gains. The close is not at all good & the levels also have not changed a bit, even after this big event of budget. Close above 7100 will be treated as ok and then we may think about going up a little where we have a stiff resistance at 7240. Since we have a close below 7100 significantly, the probability of going down is more & the breach & close below 6980, and the gates are open for 6730 & 6560 eventually. Then it may just a matter of time. Trade with levels. Strictly.

Bank Nifty :

Bank Nifty closed at 13,989.30; Bank Nifty is in a slightly better shape than Nifty. The chart pattern shows bit strength in the structure. At least it gives “ Will Not Fall Much ” kind of comfort feel. But eventually even Bank Nifty will follow Nifty. As stated earlier, there are two probable targets waiting for Bank Nifty as 14,100 & 14,300 / 400. Anytime, if it closes below 13,540, all the gains may be wiped off and it may start falling with Nifty. The very initial targets can be set at 13,300 & 12,900. Let us see how the market behaves & where it is headed. After observing the price action behavior post budget, we may decide the further move.

29-02-2016 - Index views

Nifty :

Nifty has closed at 7055.15, a good & positive close at 1.20%. As stated yesterday, it never went below 6960 & after gap up it came down & then up and ultimately closed a bit up. This rollercoaster ride will continue with its volatility even on Monday. As we have stated, the whole globe is trading in green so being in an oversold zone, even we may be trading in the green a little. The levels, targets won’t change a lot. Like mentioned earlier, on the upper side, 7100 & 7240 is a stiff resistance. A close above that & we will discuss about further action. On the lower side 6980 / 6960 are the strong support zone. A close below those levels, we might see 6730 & 6560. As the very short term trend seems good, one may go long on Nifty with a strict closing basis Stop Loss of 6980, strictly.

Bank Nifty :

Bank Nifty closed at 13,848.80; we have mentioned yesterday that Bank Nifty needs to close above 13,900 for gaining any strength to go up. It closed at almost on the level. With a short term Stop Loss of 13,600 one may go long for the targets of 14,100 & 14,300 for short period of time. Please remember, this might prove as just a bounce & NOT a trend reversal, so be cautious on longs & trade long with a strict Stop Loss only to protect you, unless it gives a proper signal of a trend reversal by closing above 14,400 on a sustained basis for couple of days. Till then, trade with caution, keep strict Stop Loss & trade with levels mentioned.

26-02-2016 - Index views

Nifty :

Nifty has closed at 6968.50, a weaker close. As stated yesterday, it has broken the lower range of 6980 & closed below it. As per the logic, it has to move downward near the recent lows it has made & may be further down also like 6730 & 6560 kind of levels. Trading in an oversold zone will bounce the Nifty time to time but the sustained trade & close for couple of days above the resistances is important. There are number of resistances ahead but for now we have to clear 7100 on closing basis. After that we will think & discuss about another level. For tomorrow’s trade if Nifty does not break 6960 & trades above 6980 sustainably, one may trade long for some time with a Stop Loss of 6960. Target & resistance is at 7100 & we already have discussed the down levels above.

Bank Nifty :

Bank Nifty closed at 13,567.90; we have mentioned yesterday that Bank Nifty is weaker than Nifty & 13,400 seems an achievable target. Today’s low is at 13,541, almost there. We may have a bounce tomorrow or a stable to positive day, but as of now, do not consider it as a trend reversal. When there will be a signal, it will be discussed & shared here. As of now the trend suggests the down levels of 13,300 & 13,100 for a very short term. The bare minimum requirement of a close is at 13,900 for gaining strength to make a journey upward. Till then one may consider it as a “ Sell On Rise ” kind of market, so trade accordingly.

25-02-2016 - Index views

Nifty :

Nifty has closed at 7109.05, even yesterday Nifty has fallen 1.30 %, with 94 points down. Since few days, the support we discussed was mentioned at 7100. It did break the level on closing basis. Now as said earlier, we have a small support / lower end of the range is at 6980. The break below which may drag Nifty towards the lows made Nifty in recent past, and may be further down. As we broke 7100, the short selling got deeper, now on the breach of 6980, it will be further down. We may see the levels like 6730 & 6560 also. To stop this fall, it has to sustain & trade above7100 for two days at least. Then slowly after crossing a few resistances, we may find Nifty getting strength and moving upward. For now, one should keep 6980 & 7100 levels in mind & trade accordingly.

Bank Nifty :

Bank Nifty has closed at 13,790.50; even yesterday Bank Nifty was down by 1.60%. The status of Bank Nifty is bad as compared to Nifty. The day before we have mentioned the support level of 13,800 and it not only broken but closed below that also. Bulls are struggling the overcome the bears but the pressure of selling is tremendous and we are breaking the supports one by one.  As of now it seems very easy to achieve the next level of 13,400 & further down ward levels very easily. Once we break this level, only after that we will discuss about further up / down levels. As stated earlier, for any strong momentum upside, Bank Nifty has to close above 14,400 sustainably for two days at least. Trade accordingly.

 

24-02-2016 - Index views

Nifty :

Nifty has closed at 7113.10, huge 1.80 % down with 117 points. Yesterday mentioned that the close is exact at resistance which is worrisome and concerning. We have seen the impact today. As stated, 7100 is a short term support & 7230 / 40 is a short term resistance. any side close, will create a small momentum in that direction. As of now the close suggests weakness. A sustained trade & close below 7100 may drag Nifty towards 6980 & further down also. 7230 / 40 seems far as of now as there are no visible triggers on the horizon. Even if it jumps 100 points back, sustainability will be an issue. Still it is in the said range of 7100 & 7230. Again today it has closed almost at support. Please trade keeping this range & levels handy while trading.

Bank Nifty :

Bank Nifty closed at 14,010.50, Bank Nifty hugely down 2.70 % with nearly 400 points. It has given up all the gains of four days, in a single day. And this is not a good sign for bulls for sure. It has again closed at the dot support. A sustained trade & close below 14,000 may take Bank Nifty towards, 13,800 & 13,400 initially. 14,000 / 14,100 is a zone, which has to be cleared on closing basis for any good up move. One may keep these levels handy and trade in case of rally happens, on a successful close above 14,100, 14,300 is a probable target, which is again a remote possibility as the scenario is bearish & trend seems down.