Market Outlook
FRIDAY, JUNE 24, 2022
Market Outlook (Closing) as on 24.06.2022
Market closed in Positive territory at 57,728.98 (+426.26)
SHORT TERM REVERSAL LEVELSTO WATCHOUT FOR ANY KIND OF LARGE PULL BACK RALLY WITH FINAL CONCLIUSION OF END OF SHORT TERM CORRECTION: TRAIL TILL IT REVERSES:
USA MARKET BOUNCING SHARPLY FROM MEDIUM TERM SUPPORT LEVELS:
MASSIVE BUILT UP IN STOCK FUTURES ON LONG SIDE BY FII INDICATING SHARP TRADING BOUNCE BACK POSSIBILITY IN NEAR TERM:
BE LIGHT IN TRADING POSITION AT CURRENT LEVELS TILL MARKET SETTLES:
MEDIUM TO LONG TERM INVESTOR CAN USE THIS CORRECTION FOR STOCK SPECIFIC BUYING OPPORTUNITY: TRAIL TILL IT REVERSES:
Market managed to find support after achieving my first short term targets levels. It made a low of 15183 levels on nifty & 50921 levels on sensex. But market many times failed at resistance levels after couple of days pull back as per chart attached. Therefore, I don’t want to jump any kind of conclusion for end of short term correction till market finally reverses in near term. I have Trailed stop loss levels as below to finally conclude short term reversal at current levels of market. Trader should be light in trading position at current levels till market settles in near term or gives further clue of any kind of larger pull back rally. One should follow a trend till it revrses.
From Overall Medium term Wave counts Perspectives, We may see Market to trade in range in this calendar year. Short term wave counts are not conclusive at current levels of market. One should watch out market behavior at this crucial levels in short term. We can see Time wise corrective phase with rotation of stocks in this phase of correction from medium term perspectives. USA Market sharply bounced back from medium term support levels as expected earlier. One can see pull back rally particularly in USA Market, if these medium term supports hold in near term.
Bank nifty also achieved almost my short term targets levels as expected. It made a low of 32290 levels. It has also managed to find support around these levels & bouncing back from these levels. Although I do not want to conclude end of correction on bank nifty as well in near term till get further confirmation of any kind of large pull back rally in near term. 35100 is short term reversal levels till it holds one can expect lower levels targets 31500 levels in short term. 39425 are medium term reversal levels for Bank nifty, till it holds one can expect lower levels targets of around 30800-30000 levels medium term. One should watch out short term reversal levels to finally conclude end of short term correction on Bank nifty.
15500 & 16000 is strong support zone & Resistance zone levels respectively based on option open interest data for current month series so far from expiry perspectives. Massive position built up in Stock Futures on long side by FII indicating possibility of some kind of sharp pull back rally in near term. Therefore, Trader should be light & wait for further evidences to finally conclude end of short term correction.
Momentum indicators Daily KST came in to BUY But Daily MACD is in SELL Indicating Volatile trend in near term . Trader should wait for short term reversal to finally conclude end of short term correction 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 are in SELL. Market closed above 20WESM & 40 WEMA. One should watch out for price Reversal to finally conclude Medium term Reversal
Conclusion:
Short Term Trend is DOWN & Medium term Trend is Down
Trend
Market Outlook (Closing) as on 24.06.2022
Market closed in Positive territory at 57,728.98 (+426.26)SHORT TERM REVERSAL LEVELSTO WATCHOUT FOR ANY KIND OF LARGE PULL BACK RALLY WITH FINAL CONCLIUSION OF END OF SHORT TERM CORRECTION: TRAIL TILL IT REVERSES:
USA MARKET BOUNCING SHARPLY FROM MEDIUM TERM SUPPORT LEVELS:
MASSIVE BUILT UP IN STOCK FUTURES ON LONG SIDE BY FII INDICATING SHARP TRADING BOUNCE BACK POSSIBILITY IN NEAR TERM:
BE LIGHT IN TRADING POSITION AT CURRENT LEVELS TILL MARKET SETTLES:
MEDIUM TO LONG TERM INVESTOR CAN USE THIS CORRECTION FOR STOCK SPECIFIC BUYING OPPORTUNITY: TRAIL TILL IT REVERSES:
From Overall Medium term Wave counts Perspectives, We may see Market to trade in range in this calendar year. Short term wave counts are not conclusive at current levels of market. One should watch out market behavior at this crucial levels in short term. We can see Time wise corrective phase with rotation of stocks in this phase of correction from medium term perspectives. USA Market sharply bounced back from medium term support levels as expected earlier. One can see pull back rally particularly in USA Market, if these medium term supports hold in near term.
Bank nifty also achieved almost my short term targets levels as expected. It made a low of 32290 levels. It has also managed to find support around these levels & bouncing back from these levels. Although I do not want to conclude end of correction on bank nifty as well in near term till get further confirmation of any kind of large pull back rally in near term. 35100 is short term reversal levels till it holds one can expect lower levels targets 31500 levels in short term. 39425 are medium term reversal levels for Bank nifty, till it holds one can expect lower levels targets of around 30800-30000 levels medium term. One should watch out short term reversal levels to finally conclude end of short term correction on Bank nifty.
15500 & 16000 is strong support zone & Resistance zone levels respectively based on option open interest data for current month series so far from expiry perspectives. Massive position built up in Stock Futures on long side by FII indicating possibility of some kind of sharp pull back rally in near term. Therefore, Trader should be light & wait for further evidences to finally conclude end of short term correction.
Momentum indicators Daily KST came in to BUY But Daily MACD is in SELL Indicating Volatile trend in near term . Trader should wait for short term reversal to finally conclude end of short term correction 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 are in SELL. Market closed above 20WESM & 40 WEMA. One should watch out for price Reversal to finally conclude Medium term ReversalConclusion:
Short Term Trend is DOWN & Medium term Trend is Down
Trend
| Short Term : | Trend | Reversal |
| 51300-50000 |  | 55000 |
| Medium Term : | Trend | Reversal |
| 47200-46500 | | 60846 |
| Short Term : | Trend | Reversal |
| 15450-15000/14800 | | 16356 |
| Medium Term : | Trend | Reversal |
| 14200-13700 | | 18115 |