Market Outlook
WEDNESDAY, FEBRUARY 06, 2019
Market Outlook (Closing) as on 06.02.2019
Market closed in positive territory at 36975.23 (+358.42)
BROKEN OUT FROM CONSOLIDATION RANGE ON UPSIDE:
LOOKS LIKE WAVE-III OF 5 BEGIN: TRAIL TILL IT REVERSES:
BROADER MARKET ( MIDCAP/SMALL CAP) HAS TO CATCH UP:
ANY KIND OF SHORT TERM VOLATALITY/ CONSOLIDATION OR DECLINE IS STOCK SPECIFIC BUYING OPPORTUNITY FOR SHORT TO MEDIUM TERM INVESTMENT PERSPECTIVES:TRAIL TILL IT REVERSES:
Market finally broken out of last 2 months consoldation range on upside as per chart attached. Nifty showing impulsive structure from recent lows as per chart attached. One can expect market to trend towards higher levels targets as mentioned below till it reverses.Any kind of decline or consolidation is buying opportunity till short term reverses.
It looks like begining of wave-III of 5 as per chart attached from overall wave count perspectives. Broader market ( Midcap/Smallcap) is still underperforming at current levels of market. It has to participate in this rally now & these divegence between main indices & broader market is going to end soon. One should closely watchout broader market at these crucial levels of market. Risk Reward is favourable to BUY stock specific at current levels of market.
BANK NIFTY also at the verge of breaking out short term consolidation range on upside as per chart attached. It also looks like begining of wave-III of 5 as per chart attached from overall wave count perspectives. 26500 levels is strong suppport on bank nifty, till it holds one can expect higher levels target1-28700/28800 & target2-29500 levels in short term. 23600 levels is strong support for medium term perspectives, till it holds, One can expect higher levels targets in the range of 30000-32000 levels on medium term perspectives
10700 & 11500 levels is strong support & resistance levels respectively based on option open interest data for current month series. Any kind of such short term correction or consolidation is buying stock specific opportunity for medium to long term Investment perspectives till medium term reverses.
Momentum indicators Daily KST & DAILY MACD both came in to BUY supporting short term view . One should be stock specific & follow the trend with trail stop loss levels till it reverses.Risk Reward is favourable to BUY at current levels of market. Close below short term reversal levels will lead to sharp correction till 10300 levels on nifty & 34400 levles on sensex in short term.
Momentum Perspective:
Weekly KST & WEEKLY MACD both are in BUY & market is closed above 20WESM & 40 WEMA. ALL Medium term momentum indicators are in BUY supporting medium term trend. Investor should follow trend till medium term reverses.
Conclusion:
Short Term Trend is UP & Medium term Trend is UP.
Trend
Market Outlook (Closing) as on 06.02.2019
Market closed in positive territory at 36975.23 (+358.42)BROKEN OUT FROM CONSOLIDATION RANGE ON UPSIDE:
LOOKS LIKE WAVE-III OF 5 BEGIN: TRAIL TILL IT REVERSES:
BROADER MARKET ( MIDCAP/SMALL CAP) HAS TO CATCH UP:
ANY KIND OF SHORT TERM VOLATALITY/ CONSOLIDATION OR DECLINE IS STOCK SPECIFIC BUYING OPPORTUNITY FOR SHORT TO MEDIUM TERM INVESTMENT PERSPECTIVES:TRAIL TILL IT REVERSES:
It looks like begining of wave-III of 5 as per chart attached from overall wave count perspectives. Broader market ( Midcap/Smallcap) is still underperforming at current levels of market. It has to participate in this rally now & these divegence between main indices & broader market is going to end soon. One should closely watchout broader market at these crucial levels of market. Risk Reward is favourable to BUY stock specific at current levels of market.
BANK NIFTY also at the verge of breaking out short term consolidation range on upside as per chart attached. It also looks like begining of wave-III of 5 as per chart attached from overall wave count perspectives. 26500 levels is strong suppport on bank nifty, till it holds one can expect higher levels target1-28700/28800 & target2-29500 levels in short term. 23600 levels is strong support for medium term perspectives, till it holds, One can expect higher levels targets in the range of 30000-32000 levels on medium term perspectives
10700 & 11500 levels is strong support & resistance levels respectively based on option open interest data for current month series. Any kind of such short term correction or consolidation is buying stock specific opportunity for medium to long term Investment perspectives till medium term reverses.
Momentum indicators Daily KST & DAILY MACD both came in to BUY supporting short term view . One should be stock specific & follow the trend with trail stop loss levels till it reverses.Risk Reward is favourable to BUY at current levels of market. Close below short term reversal levels will lead to sharp correction till 10300 levels on nifty & 34400 levles on sensex in short term.
Momentum Perspective:
Weekly KST & WEEKLY MACD both are in BUY & market is closed above 20WESM & 40 WEMA. ALL Medium term momentum indicators are in BUY supporting medium term trend. Investor should follow trend till medium term reverses.Conclusion:
Short Term Trend is UP & Medium term Trend is UP.
Trend
| Short Term : | Trend | Reversal |
| 38700-38800 |  | 35375 |
| Medium Term : | Trend | Reversal |
| 42500-43000 | | 32483 |
| Short Term : | Trend | Reversal |
| 11550-11600 | | 10583 |
| Medium Term : | Trend | Reversal |
| 12600-12900 | | 9951 |