Market Outlook
FRIDAY, February 19, 2021
Market Outlook (Closing) as on 19.02.2021
Market closed in negative territory at 50889.76 (- 434.93)
PROFIT BOOKING NEAR FROM SHORT TERM TARGETS LEVELS: TRAIL TILL IT REVERSES:
CAN’T RULE OUT VOLATILE & RANGE BOUND TREND FOR SHORT TERM:
KEEPS REGULAR PROFIT BOOKING & STOCK SPECIFIC AT THESE LEVELS OF MARKET:
GOLBAL MAKRET LOOKS FOR SHORT TERM POISED OR PROFIT BOOKING:
PRECIOUS METALS SUCH AS GOLD AND CURRENCY (USD/INR) AT VERY CRUCIAL SUPPORT LEVELS:
STILL LOOKS LIKE “W ” SHAPE RECOVERY OR PULL BACK RALLY LIKE 1998-2003 STRUCTURE OF MARKET:
MISSING WAVE- V OF BULL MARKET:
BE STOCK SPECIFIC AND NOT TO BE CARRIED AWAY WITH TOO MUCH LEVERAGE IN THIS EUPH ORIC PHASE OF MARKET:
Market closed weekly in negative territory. It witnessed sharp profit booking near from short term targets levels as mentioned below. It made a high of 15,431.75 levels on nifty & 52516.76 levels on sensex. 14700-14750 is crucial support zone on nifty & 49900-50100 is crucial support zone on sensex to watch out for short term. One should book regular profit booking & stock specific at these levels of market.
It looks like one possibility of wave-V completion near upper end of channel from overall wave count perspectives as per chart attached. One needs to watch out other evidences also to finally conclude the same. On the other hand, Global market also looks for short term poised or profit booking and precious metals such as GOLD & Currency particularly (USD/INR) at crucial support levels. Market may remain volatile or remain range bound at current levels.
It still looks like “W” shape recovery or rally like 1998-2003 structure. And it’s missing Wave-V of higher degree from wave count perspectives. So one can’t rule out sharp correction, once this rally completes, towards further lower levels targets towards 2019 lows or retracement of entire rally from March 2019 lows. So one should be very stock specific in this phase of market.
BNK NIFTY also witnessed sharp profit booking near from short term targets levels. It made a high of 37708.75 levels. 33500-32850 is crucial support zone on bank nifty to watch out for short term. 32850 are strong support/Reversal levels for bank nifty, till it holds one can expect higher levels taregt1-38500/39500 levels in short to medium term. 28970 levels is strong support for medium term perspectives on bank nifty.
14700-14500/15500 is strong support zone & Resistance zone levels respectively based on option open interest data for expiry perspectives for current month so far based on option open interest data. Although Derivatives Open interest data & Position wise analysis is not showing danger sign for short term but one can’t rule out shaken out of weak bulls in short term volatility.
Momentum indicators Daily KST went in to SELL but Daily MACD is still in BUY indicating volatile trend in short term. Close & sustain below short term reversal levels will lead to sharp fall towards 14500/14300 levels on nifty & 49200-48750 levels on sensex in short term. One should be stock specific ¬ to be carried away with too much leverage in this euphoric phase of market & follow trend with trail stop loss levels till it reverses.
Momentum Perspective:
Weekly KST & WEEKLY MACD both 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 UP & Medium term Trend is UP
Trend
Market Outlook (Closing) as on 19.02.2021
Market closed in negative territory at 50889.76 (- 434.93)PROFIT BOOKING NEAR FROM SHORT TERM TARGETS LEVELS: TRAIL TILL IT REVERSES:
CAN’T RULE OUT VOLATILE & RANGE BOUND TREND FOR SHORT TERM:
KEEPS REGULAR PROFIT BOOKING & STOCK SPECIFIC AT THESE LEVELS OF MARKET:
GOLBAL MAKRET LOOKS FOR SHORT TERM POISED OR PROFIT BOOKING:
PRECIOUS METALS SUCH AS GOLD AND CURRENCY (USD/INR) AT VERY CRUCIAL SUPPORT LEVELS:
STILL LOOKS LIKE “W ” SHAPE RECOVERY OR PULL BACK RALLY LIKE 1998-2003 STRUCTURE OF MARKET:
MISSING WAVE- V OF BULL MARKET:
BE STOCK SPECIFIC AND NOT TO BE CARRIED AWAY WITH TOO MUCH LEVERAGE IN THIS EUPH ORIC PHASE OF MARKET:
It looks like one possibility of wave-V completion near upper end of channel from overall wave count perspectives as per chart attached. One needs to watch out other evidences also to finally conclude the same. On the other hand, Global market also looks for short term poised or profit booking and precious metals such as GOLD & Currency particularly (USD/INR) at crucial support levels. Market may remain volatile or remain range bound at current levels.
It still looks like “W” shape recovery or rally like 1998-2003 structure. And it’s missing Wave-V of higher degree from wave count perspectives. So one can’t rule out sharp correction, once this rally completes, towards further lower levels targets towards 2019 lows or retracement of entire rally from March 2019 lows. So one should be very stock specific in this phase of market.
BNK NIFTY also witnessed sharp profit booking near from short term targets levels. It made a high of 37708.75 levels. 33500-32850 is crucial support zone on bank nifty to watch out for short term. 32850 are strong support/Reversal levels for bank nifty, till it holds one can expect higher levels taregt1-38500/39500 levels in short to medium term. 28970 levels is strong support for medium term perspectives on bank nifty.
14700-14500/15500 is strong support zone & Resistance zone levels respectively based on option open interest data for expiry perspectives for current month so far based on option open interest data. Although Derivatives Open interest data & Position wise analysis is not showing danger sign for short term but one can’t rule out shaken out of weak bulls in short term volatility.
Momentum indicators Daily KST went in to SELL but Daily MACD is still in BUY indicating volatile trend in short term. Close & sustain below short term reversal levels will lead to sharp fall towards 14500/14300 levels on nifty & 49200-48750 levels on sensex in short term. One should be stock specific ¬ to be carried away with too much leverage in this euphoric phase of market & follow trend with trail stop loss levels till it reverses.
Momentum Perspective:
Weekly KST & WEEKLY MACD both 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 UP & Medium term Trend is UP
Trend
| Short Term : | Trend | Reversal |
| 52800-53300 |  | 49926 |
| Medium Term : | Trend | Reversal |
| 54500 | | 46160 |
| Short Term : | Trend | Reversal |
| 15550 | | 14714 |
| Medium Term : | Trend | Reversal |
| 16100 | | 13596 |