Market Outlook
THURSDAY, AUGUST 04, 2022
Market Outlook (Closing) as on 04.08.2022
Market closed in negative territory at 58,298.80 (-51.73)
SECOND SHORT TERM TARGETS LEVELS ACHIEVD: TRAIL TILL IT REVERSES
LOOKS LIKE EXTENSION CASE FURTHER; REVISING UPWARDS SHORT TERM TARGETS LEVELS:
DERIVATIVES OPEN INTEREST DATA SHOWING BULLISH STRUCTURE IN SHORT TERM
VOLTALITY TO CONTINUE IN SHORT TERM:
MEDIUM TERM VIEW STILL REMAINS DOWN:
WORLD MARKET WITH SOFTEN COMMODITIES PRICE INDIATING SHORT TERM PULLS BACK RALLY FIRST TILL IT REVERSES:
MEDIUM TO LONG TERM INVESTOR CAN USE THIS CORRECTION FOR STOCK SPECIFIC BUYING OPPORTUNITY: TRAIL TILL IT REVERSES:
Market extended pull back rally as expected. It has achieved my second short term targets levels near recent high. It made a high of 17490.70 levels on nifty & 58712.66 levels sensex today. It looks like extension case for further revised higher levels targets as mentioned below in short term. I may consolidate between 17500-17000 levels for some more time before breaking the range. Trader should buy stock specific & keep periodic profit booking at current levels of market as its entering into medium term crucial resistance levels. One should follow trend with trailing stop loss levels till it reverses.
As expected Market made a very sharp pull back rally from bottom as expected. It still looks like wave-X pullback rally till it reverses. As Market is approaching towards medium term reversal levels which is crucial cluster of resistance levels. One should watch out market behavior around these levels to finally conclude the same.
Bank nifty also achieved my short term targets levels as expected in this pullback rally. It made a high of 38231.85 levels so far in this pull back rally. It looks like possibility of further extension of rally towards final short term targets levels. 35540 is crucial short term reversal level, till it holds one can expect higher levels targets in the range of 38800-39000 levels in short terms. Medium term outlook for bank nifty still remains negative till it trades below 39500 levels & expecting targets in the range of 30800-30000 levels in medium term. It also looks like time wise corrective phase on bank nifty for medium term perspectives.
16000/16500- 17000 is strong support zone & Resistance zone levels respectively based on option open interest data for current month series so far from expiry perspectives. Derivatives data showing Bullish set up by FII & Overall Open interest position at very low levels also indicating bullish structure till short term reverses. Trader should book profit at regular intervals as medium term outlook for the market still remains negative.
Momentum indicators Daily KST & Daily MACD both are in BUY supporting short term trend. Trader should BUY Stock specific & keep regular profit booking in this pullback rally while Investor should use this corrective phase to buy stock specific in tranches in disciplined manner from long term perspectives.
Momentum Perspective:
Weekly KST & Weekly MACD both came in to BUY. Market closed above 20WESM & 40 WEMA. One should watch out for price Reversal to finally conclude Medium term Reversal
Conclusion:
Short Term Trend is UP & Medium term Trend is Down
Trend
Market Outlook (Closing) as on 04.08.2022
Market closed in negative territory at 58,298.80 (-51.73)SECOND SHORT TERM TARGETS LEVELS ACHIEVD: TRAIL TILL IT REVERSES
LOOKS LIKE EXTENSION CASE FURTHER; REVISING UPWARDS SHORT TERM TARGETS LEVELS:
DERIVATIVES OPEN INTEREST DATA SHOWING BULLISH STRUCTURE IN SHORT TERM
VOLTALITY TO CONTINUE IN SHORT TERM:
MEDIUM TERM VIEW STILL REMAINS DOWN:
WORLD MARKET WITH SOFTEN COMMODITIES PRICE INDIATING SHORT TERM PULLS BACK RALLY FIRST TILL IT REVERSES:
MEDIUM TO LONG TERM INVESTOR CAN USE THIS CORRECTION FOR STOCK SPECIFIC BUYING OPPORTUNITY: TRAIL TILL IT REVERSES:
As expected Market made a very sharp pull back rally from bottom as expected. It still looks like wave-X pullback rally till it reverses. As Market is approaching towards medium term reversal levels which is crucial cluster of resistance levels. One should watch out market behavior around these levels to finally conclude the same.
Bank nifty also achieved my short term targets levels as expected in this pullback rally. It made a high of 38231.85 levels so far in this pull back rally. It looks like possibility of further extension of rally towards final short term targets levels. 35540 is crucial short term reversal level, till it holds one can expect higher levels targets in the range of 38800-39000 levels in short terms. Medium term outlook for bank nifty still remains negative till it trades below 39500 levels & expecting targets in the range of 30800-30000 levels in medium term. It also looks like time wise corrective phase on bank nifty for medium term perspectives.
16000/16500- 17000 is strong support zone & Resistance zone levels respectively based on option open interest data for current month series so far from expiry perspectives. Derivatives data showing Bullish set up by FII & Overall Open interest position at very low levels also indicating bullish structure till short term reverses. Trader should book profit at regular intervals as medium term outlook for the market still remains negative.
Momentum indicators Daily KST & Daily MACD both are in BUY supporting short term trend. Trader should BUY Stock specific & keep regular profit booking in this pullback rally while Investor should use this corrective phase to buy stock specific in tranches in disciplined manner from long term perspectives.
Momentum Perspective:
Weekly KST & Weekly MACD both came in to BUY. Market closed above 20WESM & 40 WEMA. One should watch out for price Reversal to finally conclude Medium term ReversalConclusion:
Short Term Trend is UP & Medium term Trend is Down
Trend
| Short Term : | Trend | Reversal |
| 59500/60000 |  | 55200 |
| Medium Term : | Trend | Reversal |
| 47200-46500 |  | 60846 |
| Short Term : | Trend | Reversal |
| 17700/17900 | | 16438 |
| Medium Term : | Trend | Reversal |
| 14200-13700 | | 18115 |