Mutual Funds Commodities Research Tax Planning IPO Our Team Contact Us    
Google
Web www.equitybulls.com
Market Commentary

| More

RBI's Policy decision will be crucial for coming week market : Epic Research

Posted On: 2018-09-30 10:45:20

Mr. Mustafa Nadeem, CEO Epic Research

Nifty ends down for the fourth consecutive week making it a monthly loss as bears control the trend. Nifty ended below 11K market after almost a brief period of 3 months shredding 7% in just a month. A correction that has shaken the medium term trend.

Technically, There are multiple factors that in place right now and further implicates the weakness on charts. Nifty has breached the crucial medium-term support trendline that was placed from troughs of previous swing bottom at 9950. Secondly, Nifty has closed below its 100 Days Moving average which is another bearish sentiment in the medium term. If Nifty continues to remain below 100 DMA at 11040 then a weakness in price will lead to a selling pressure that can amass to lower levels of 10700 - 10650.

On higher Timeframe, Monthly Chart; as the month ended, Nifty has made a bearish engulfing pattern which is a bearish signal for coming days. Study of the same pattern on Nifty on this timeframe previously has caused a major correction that was about 5% to 15%.

Both above things pointed out makes us cautious in Mid-Short term as any bounce back now will be seen as a selling opportunity.

RBI's Interest rate decision will be crucially watched given the rise in trade war has escalated and Rupee continues to fall. The GDP projection and comments will be watched as there may be some intervention by RBI that may come to give some support. Crude oil has been positive and trading above $80 mark which is another whammy for investors sentiment. A higher crude oil price has a direct impact on the Indian economy and its CAD.

On leading Indicator such as RSI, 15, a Bearish divergence is also seen as despite a bullish move in the last couple of months, Indicator points it to be a weaker top and we may see further weakness coming in. Volume has been higher amid selling pressure and rollover has been lower than last few months average on Nifty indicates an overall fragile state of price and cautiousness should be adhered to.

Upside resistance comes at 11171 - 11110 while downside support is at 10700 while below that weakness can be seen to 10060. These are for medium-term perspective. In short term, Nifty may be ranging between 11200 to 10700 while Sell on the advances is the strategy that should be used.


Source: Equity Bulls

Click here to send ur comments or to feedback@equitybulls.com





Other Headlines:

Market Strategies for Tuesday, October 16, 2018 from Share India Securities Ltd

Quarterly number of crucial companies may have a larger impact on specific factors : Epic Research

It's a bear momentum - Market crash - Epic Research

Thursday morning wiped off Rs 4 lakh crore of investor wealth within 5 minutes

Expect further bounce back in midcap universe: Angel Broking

No respect for 200 day SMA as well: Angel Broking

SBI Ecowrap - Excise cut most welcome, states are already cutting in tandem: Short term steps by RBI now a must for currency market stability

Expectation from RBI Monetary Policy - Karan Mehrishi, Lead Economist at Acuité Ratings and Research

Nifty to continue its downtrend for lower targets of 10600 - 10700 : Epic Research

Market View - Mr. Abhijeet Dey - BNP Paribas Mutual Fund

Nifty needs to close past 11340 to show some corrective upside

All eyes will be on crude oil movement and INR in the coming week : Epic Research

After a decline, appearance of Hammer pattern indicates a trend reversal

Nifty recovered some ground, Metal universe poised for strong move: Angel Broking

Nifty will consolidate next week before any fresh breakout on either side defining the short term trend : Epic Research

Bullish Hammer activated, further recovery on cards: Angel Broking

Oversold levels may allow for further bounce towards 11500-11540

Smart tail-end recovery looks encouraging, 'Metal' to continue outperformance: Angel Broking

Nifty has formed big red candle stick pattern on daily chart - Equity99

Still just a profit booking and not a trend reversal: Angel Broking

Market will look for IIP and Inflation data in Mid September : Epic Research

The index is likely to enter into a corrective trend - Market Strategy Aug 31, 2018 - Share India Securities Ltd

No obstacle seen before 11900, do watch out for 'Metal' space: Angel Broking

Further liberalization can help double rural income faster in India - Rajiv Ranjan Singh

Weekly Market Outlook - Rahul Sharma, Senior Research Analyst, Equity99

Floods to have a significant impact on the Kerala economy - Acuité Ratings & Research

Nifty expects to range between 11430 - 11600 for coming week market : Epic Research

Large caps and blue chips leading momentum for coming week market : Epic Research

Nifty has a strong support for 11295-11235 for coming week - Equity99

Keep using declines, further legs to unfold: Angel Broking

Economy Update: Monetary Policy - Kotak

Nifty eying 11400 - 11500, keep participating without any hesitation: Angel Broking

RBI policy leading the coming week market : Epic Research

Nifty enters uncharted territory, still long way to go: Angel Broking

Hitting record highs is merely a formality now: Angel Broking

Heavyweights results will drive market for next week : Epic Research

Market gearing up for new highs: Angel Broking

Midcap index is in process of bottoming out: Angel Broking

Expect choppy moves in index, better to continue with stock centric approach: Angel Broking

Crude price and its impact will drive coming week market - Epic Research

Benchmarks once again stuck in a range: Angel Broking

Metals, real estate and fertilizers to perform well in July series : Epic Research

Majority of longs have been lightened - The Rollover Report: Angel Broking

Markets in a corridor of uncertainty: Angel Broking

10650 - Probably a trend deciding level: Angel Broking

All's well that ends well: Angel Broking

OPEC meet and trade war fear will keep the markets jittery : Epic Research

10700 - 10650 remains to be a crucial support: Angel Broking

Boredom continues as index gyrates in a slender range: Angel Broking

US-Sino trade war hits risky assets hard: Angel Broking







Website Created & Maintained by : Chennai Scripts
West Mambalam, Chennai - 600 033,
Tamil Nadu, India

disclaimer copyright © 2005 - 2018