Market Outlook
TUESDAY, NOVEMBER 02, 2021
Market Outlook (Closing) as on 02.11.2021
Market closed in negative territory at 60,029.06 (-109.40)
FIRST SHORT TERM CORECTION TARGETS ACHIEVED:
SHORT TERM REVERSAL LEVELS TO WATCHOUT FOR: TRAIL TILL IT REVESES:
HEAVY RETAIL NET LONG OPEN INTEREST POSITION WILL CREATE HIGH STOCK SPECIFIC VOLATALITY IN SHORT TERM:
BE STOCK SPECIFIC & KEEP PERIODIC PROFIT BOOKING AT THESE LEVELS MAREKT:
: BE LIGHT & LESS LEVERAGE AT THESE LEVELS OF MARKET.
Market achieved first short term targets levels of recent correction as expected earlier. It made a low of 17613.10 levels on nifty & 59089.37 levels on sensex so far. It sharply bounced back from lower levels. One should watch out revised short term reversal levels to conclude end of short term correction till that one should be stock specific in trading position & follow trend till it reverses. Break of recent lows will lead to further extension of short term correction for further lower levels targets as mentioned below in short term. Alternatively, it may trend or consolidate in the range of 17500-18200 levels in short term in case of time wise correction.
It looks like we are in wave-(iv) of V of 5 short term correction from overall wave count perspectives as per chart attached. One can expect market to fall first before heading towards higher levels targets as mentioned below in medium term.16900 is support/ reversal levels on nifty & 56300 levels on sensex for medium term perspectives.
BANK NIFTY also witnessed sharp profit booking from higher levels. It made a low of 38606.90 levels so far in this short term correction. It also looks like wave-IV Correction on bank nifty in short term. 38500-37800 levels is strong support or short term reversal levels for bank nifty till 37800 levels holds short term trend for bank nifty remains up & one can expect higher levels targets till 41500-42000 levels in short term. 36500 levels is strong support on bank nifty for medium term perspectives on bank nifty till it holds one can expect higher levels targets till 44000 levels in medium term.
17500 & 18500 is strong support zone & Resistance zone levels respectively based on option open interest data for current month series so far based on option open interest data for expiry perspectives. Market will remain volatile ahead of expiry next week. Retail open interest position net long is at very high levels that will cause high stock specific volatility in market in short term. So be stock specific & Keep periodic profit booking at current levels of market. One should be less leveraged at these of market.
Momentum indicators Daily KST & Daily MACD both are in SELL supporting short term trend. 18191 levels on nifty & 61081 levels on sensex is crucial reversal levels to finally conclude end of short term correction at current levels of market.CLose above these levels will confirm to sharp rally towards medium term higher levels targets.
Momentum Perspective:
Weekly KST & WEEKLY MACD are in BUY. Market is still closed above 20WESM & 40 WEMA. One should wait for price reversal to finally conclude medium term reversal.
Conclusion:
Short Term Trend is Down & Medium term Trend is UP
Trend
Market Outlook (Closing) as on 02.11.2021
Market closed in negative territory at 60,029.06 (-109.40)FIRST SHORT TERM CORECTION TARGETS ACHIEVED:
SHORT TERM REVERSAL LEVELS TO WATCHOUT FOR: TRAIL TILL IT REVESES:
HEAVY RETAIL NET LONG OPEN INTEREST POSITION WILL CREATE HIGH STOCK SPECIFIC VOLATALITY IN SHORT TERM:
BE STOCK SPECIFIC & KEEP PERIODIC PROFIT BOOKING AT THESE LEVELS MAREKT:
: BE LIGHT & LESS LEVERAGE AT THESE LEVELS OF MARKET.
It looks like we are in wave-(iv) of V of 5 short term correction from overall wave count perspectives as per chart attached. One can expect market to fall first before heading towards higher levels targets as mentioned below in medium term.16900 is support/ reversal levels on nifty & 56300 levels on sensex for medium term perspectives.
BANK NIFTY also witnessed sharp profit booking from higher levels. It made a low of 38606.90 levels so far in this short term correction. It also looks like wave-IV Correction on bank nifty in short term. 38500-37800 levels is strong support or short term reversal levels for bank nifty till 37800 levels holds short term trend for bank nifty remains up & one can expect higher levels targets till 41500-42000 levels in short term. 36500 levels is strong support on bank nifty for medium term perspectives on bank nifty till it holds one can expect higher levels targets till 44000 levels in medium term.
17500 & 18500 is strong support zone & Resistance zone levels respectively based on option open interest data for current month series so far based on option open interest data for expiry perspectives. Market will remain volatile ahead of expiry next week. Retail open interest position net long is at very high levels that will cause high stock specific volatility in market in short term. So be stock specific & Keep periodic profit booking at current levels of market. One should be less leveraged at these of market.
Momentum indicators Daily KST & Daily MACD both are in SELL supporting short term trend. 18191 levels on nifty & 61081 levels on sensex is crucial reversal levels to finally conclude end of short term correction at current levels of market.CLose above these levels will confirm to sharp rally towards medium term higher levels targets.
Momentum Perspective:
Weekly KST & WEEKLY MACD are in BUY. Market is still closed above 20WESM & 40 WEMA. One should wait for price reversal to finally conclude medium term reversal.Conclusion:
Short Term Trend is Down & Medium term Trend is UP
Trend
| Short Term : | Trend | Reversal |
| 58700-57900 |  | 61081 |
| Medium Term : | Trend | Reversal |
| 63500 |  | 56300 |
| Short Term : | Trend | Reversal |
| 17500-17300 | | 18191 |
| Medium Term : | Trend | Reversal |
| 18700-18800 | | 16900 |