Market Outlook
FRIDAY, JUNE 15, 2018
Market Outlook (Closing) as on 15.06.2018
Market closed in positive territory at 35,622.14 (+22.32)
CONSOLIDATING IN NARROW RANGE IN SHORT TERM: TRAIL TILL IT REVERSES:
TRADING NEAR UPPER END OF RANGE:
BROADER MARKET - MIDCAP & SMALL CAP INDICES HOLDS LOWER END SUPPORT LEVELS:
ANY KIND OF SHORT TERM VOLTALITY/ CONSOLIDATION OR DECLINE IS STOCK SPECIFIC BUYING OPPORTUNITY FOR SHORT TO MEDIUM TERM INVESTMENT PERSPECTIVES:TRAIL TILL IT REVERSES:
Market closed 4th concecutive week in positive territory. It further consolidated in narrow range during week. Nifty is still consolidating in narow raneg of 10400-10900 levels in short term & we are trading near upper end of range. Able to break this range on upside will fianlly confirm rally towards short term targets levels as mentioned below.Any kind of decline or short term consolidation is stock specific buying opportunity till short term reverses. One can expect higher levels targets as mentioend below in short to medium term.
It looks like wave-II Consolidation as per daily chart attached. One should wait for upper end of range on nifty around 10900 levels to finally conclude as breakout & wave-III upward rally towards higher levels targets as mentioned below in short to medium term. Till that it may spend some more time in this range till it reverses.
Broader market particularly Midcap & small cap Indices, finally hold lower end support levels as mentioend earlier & it started to rally from these levels. Sustainability of broadermarket rally will be an additional confirmation of short term trend. And It may outperform in short term.
BANK NIFTY closed weekly in negative territory. Its also consolidated in narrow rnage after 5 wave advance rally in short term.One can expect higher levels targets around 27700 levels till it holds crucial support of 25550 levels in short term & further above 29600-30000 levels in medium term. Any kind of decline is also buying opportunity for bank nifty for short to medium term perspectives.
10600-10700 & 11000 levels is strong support & resistance levels range respectively based on option open interest data for current month series. By looking at current structure, I feel market is going to surpass all time high soon on main indices & this rally will have time wise consolidation rather than price wise correction in short term. Any kind of such short term correction or consolidation is buying opportunity for medium to long term Investment perspectives till medium term reverses.
Momentum indicators Daily KST are in BUY & DAILY MACD both are in BUY supporting short term trend. One should be stock specific & follow the trend with trail stop loss levels till it reverses. Close below short term reversal levels will lead to sharp correction till 10300-10200 levels on nifty & 33600 levels on sensex in short term.
Momentum Perspective:
Weekly KST & WEEKLY MACD both went in to SELL & also closed below 20 WSMA. Its trading above 40 WEMA . Medium term Parameters are showing weakness but one need to watch out price confirmation to conclude medium term reversal till that One can expect market to trend towards higher level targets in medium term. Any kind of short term correction or consolidation in buying opportunity for medium to long term Investment perspectives till it reverses.
Conclusion:
Short Term Trend is UP & Medium term Trend is UP.
Trend
Market Outlook (Closing) as on 15.06.2018
Market closed in positive territory at 35,622.14 (+22.32)CONSOLIDATING IN NARROW RANGE IN SHORT TERM: TRAIL TILL IT REVERSES:
TRADING NEAR UPPER END OF RANGE:
BROADER MARKET - MIDCAP & SMALL CAP INDICES HOLDS LOWER END SUPPORT LEVELS:
ANY KIND OF SHORT TERM VOLTALITY/ CONSOLIDATION OR DECLINE IS STOCK SPECIFIC BUYING OPPORTUNITY FOR SHORT TO MEDIUM TERM INVESTMENT PERSPECTIVES:TRAIL TILL IT REVERSES:
It looks like wave-II Consolidation as per daily chart attached. One should wait for upper end of range on nifty around 10900 levels to finally conclude as breakout & wave-III upward rally towards higher levels targets as mentioned below in short to medium term. Till that it may spend some more time in this range till it reverses.
Broader market particularly Midcap & small cap Indices, finally hold lower end support levels as mentioend earlier & it started to rally from these levels. Sustainability of broadermarket rally will be an additional confirmation of short term trend. And It may outperform in short term.
BANK NIFTY closed weekly in negative territory. Its also consolidated in narrow rnage after 5 wave advance rally in short term.One can expect higher levels targets around 27700 levels till it holds crucial support of 25550 levels in short term & further above 29600-30000 levels in medium term. Any kind of decline is also buying opportunity for bank nifty for short to medium term perspectives.
10600-10700 & 11000 levels is strong support & resistance levels range respectively based on option open interest data for current month series. By looking at current structure, I feel market is going to surpass all time high soon on main indices & this rally will have time wise consolidation rather than price wise correction in short term. Any kind of such short term correction or consolidation is buying opportunity for medium to long term Investment perspectives till medium term reverses.
Momentum indicators Daily KST are in BUY & DAILY MACD both are in BUY supporting short term trend. One should be stock specific & follow the trend with trail stop loss levels till it reverses. Close below short term reversal levels will lead to sharp correction till 10300-10200 levels on nifty & 33600 levels on sensex in short term.
Momentum Perspective:
Weekly KST & WEEKLY MACD both went in to SELL & also closed below 20 WSMA. Its trading above 40 WEMA . Medium term Parameters are showing weakness but one need to watch out price confirmation to conclude medium term reversal till that One can expect market to trend towards higher level targets in medium term. Any kind of short term correction or consolidation in buying opportunity for medium to long term Investment perspectives till it reverses.Conclusion:
Short Term Trend is UP & Medium term Trend is UP.
Trend
| Short Term : | Trend | Reversal |
| 36100-36500 |  | 34302 |
| Medium Term : | Trend | Reversal |
| 38200-38500 | | 29077 |
| Short Term : | Trend | Reversal |
| 11000-11200 | | 10417 |
| Medium Term : | Trend | Reversal |
| 12000-12200 | | 8968 |