Market Outlook
FRIAY, JULY 17, 2020
Market Outlook (Closing) as on 17.07.2020
Market closed in positive territory at 37,020.14 (+ 548.46)
Wave-V UP TOWARDS SHORT TERM TARGETS LEVELS:
BANK NIFTY IS CRUCIAL TO WATCHOUT FOR SHORT TERM TREND:
BE STOCK SPECIFIC IN THIS PHASE OF MARKET:
REVISING MEDIUM TERM REVERSAL LEVELS, AS LOOKS LIKE “ W ” SHAPE RECOVERY OR PULL BACK RALLY:
STILL LOOKS LIKE TYPICAL BEAR MARKET RALLY TILL MEDIUM TERM REVERSES:
Market completed short term consolidation of Wave-iv in this week. It made a low of 35877.42 levels on sensex & 10562.90 levels on nifty. One can expect market to trend towards higher levels targets in wave-V Up in short term. It looks like BANK NIFTY will be once again crucial to watch out in short term. It will be key dark horse to extend rally further for higher levels targets as mentioned below in short term. It will be in driving sheet & lead the rally in short term. Trader should follow trend till it reverses.
It looks like typical ABC Pull back rally of Bear market from overall wave count perspectives as per chart attached till medium term reverses. Trader should book profit at regular intervals.
BANK NIFTY is underperforming at current levels of market. It looks like end of wave-iv correction on bank nifty. It made a low of 21025 levels this week. One can BUY Bank nifty for trading perspectives in short term. It can extend in short term for higher levels target1-23300/23500 levels in short term. Outlook for Bank nifty will be positive till it trades above 21000 levels in short term. 27000 levels is medium term reversal levels for Bank nifty, till it holds one can expect lower levels targets till 17000/16000 levels in medium term.
10000 & 11000 levels is crucial support & Resistance levels range respectively based on option open interest data for expiry perspectives for current month series. I am also revising medium term reversal levels for overall trend of the market as below & it still looks like typical Bear Market rally till medium term reverses. And so far it’s turning out to be “W” shape recovery or pullback rally from medium term perspectives. It requires further more confirmation for finally conclude medium term reversal. I will periodically review for the same.
Momentum indicators Daily KST & Daily MACD both are in SELL indicating volatile trend for short term. One should be stock specific & follow trend with trail stop loss levels till it reverses in short term. Close below short term reversal levels will lead to sharp fall towards 10200 levels on nifty & 34500 levels on sensex is short term. One should periodically book profit & cautiously bullish at higher levels.
Momentum Perspective:
Weekly KST & WEEKLY MACD both are in BUY. Market is closed above 20WESM & 40 WEMA. Majority of medium term indicators are in BUY but One should wait 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 17.07.2020
Market closed in positive territory at 37,020.14 (+ 548.46)Wave-V UP TOWARDS SHORT TERM TARGETS LEVELS:
BANK NIFTY IS CRUCIAL TO WATCHOUT FOR SHORT TERM TREND:
BE STOCK SPECIFIC IN THIS PHASE OF MARKET:
REVISING MEDIUM TERM REVERSAL LEVELS, AS LOOKS LIKE “ W ” SHAPE RECOVERY OR PULL BACK RALLY:
STILL LOOKS LIKE TYPICAL BEAR MARKET RALLY TILL MEDIUM TERM REVERSES:
It looks like typical ABC Pull back rally of Bear market from overall wave count perspectives as per chart attached till medium term reverses. Trader should book profit at regular intervals.
BANK NIFTY is underperforming at current levels of market. It looks like end of wave-iv correction on bank nifty. It made a low of 21025 levels this week. One can BUY Bank nifty for trading perspectives in short term. It can extend in short term for higher levels target1-23300/23500 levels in short term. Outlook for Bank nifty will be positive till it trades above 21000 levels in short term. 27000 levels is medium term reversal levels for Bank nifty, till it holds one can expect lower levels targets till 17000/16000 levels in medium term.
10000 & 11000 levels is crucial support & Resistance levels range respectively based on option open interest data for expiry perspectives for current month series. I am also revising medium term reversal levels for overall trend of the market as below & it still looks like typical Bear Market rally till medium term reverses. And so far it’s turning out to be “W” shape recovery or pullback rally from medium term perspectives. It requires further more confirmation for finally conclude medium term reversal. I will periodically review for the same.
Momentum indicators Daily KST & Daily MACD both are in SELL indicating volatile trend for short term. One should be stock specific & follow trend with trail stop loss levels till it reverses in short term. Close below short term reversal levels will lead to sharp fall towards 10200 levels on nifty & 34500 levels on sensex is short term. One should periodically book profit & cautiously bullish at higher levels.
Momentum Perspective:
Weekly KST & WEEKLY MACD both are in BUY. Market is closed above 20WESM & 40 WEMA. Majority of medium term indicators are in BUY but One should wait for price reversal to finally conclude medium term reversal.Conclusion:
Short Term Trend is UP & Medium term Trend is DOWN.
Trend
| Short Term : | Trend | Reversal |
| 37720-38300 |  | 35894 |
| Medium Term : | Trend | Reversal |
| 32350-29968-27500 |  | 39500 |
| Short Term : | Trend | Reversal |
| 11100-11380 | | 10577 |
| Medium Term : | Trend | Reversal |
| 9500-8800-8000 | | 11600 |