Market Outlook
FRIDAY, APRIL 27, 2018
Market Outlook (Closing) as on 27.04.2018
Market closed in positive territory at 34,969.70 (+ 256.10)
SLOW BUT STEADY EXTENDING FURTHER ON UPSIDE: TRAIL TILL IT REVERSES
BEGINING OF WAVE-V UPWARD RALLY TOWARDS HIGHER LEVELS TARGETS IN MEDIUM TERM:
ANY KIND OF SHORT TERM CONSOLIDATION OR DECLINE IS STOCK SPECIFIC BUYING OPPORTUNITY FOR MEDIUM TO LONG TERM INVESTMENT PERSPECTIVES:
Market closed 5th concectuive week in positive territory. Its slow but steady extending on upside towards higher levels targets in short term as exepcted last week. It made a high of 10,719.80 levels so far in this week. It closed near high at the end of weekly trading session. Its traign in channel as per daily chart.All the other indices such as midcap, small cap etc also extended gain & closed weekly in positive territory. One can expect market to extend further towards higher levels targets as expected below in short term. Any kind of decline or short term consolidation is stock specific buying opportunity till short term reverses.
As mentioned last week, about end of medium term wave-IV correction & beginning of wave-V upward rally towards higher levels targets in medium term as preferred wave counts. It looks like market has completed short term correction near recent low of 9951.90 levels on nifty & 32,483.84 levels on sensex. It has almost retraced almost 38.2% near recent lows in these short term correction as per chart attached. It looks like beginning of wave-I of 5 as per chart attached as per preferred wave counts with ruling out possibility to break recent lows as mentioned above till short term reverses. Any kind of such short term correction or consolidation is buying opportunity for medium to long term Investment perspectives till medium term reverses.
BANK NIFTY also closed weekly in positive territory. It has outperformed during this week. It has complete short term correction as per chart attached & started the rally further in short term. It made a low of 24705 levels during week. One can expect higher levels targets around 26600 levels till it holds crucial support of 24700 levels in short term & further above 29600-30000 levels in medium term.
10500 & 11000 levels is strong support & resistance levels range respectively based on option open interest data so far for current month series. Market will remain very volatile ahead of Result season this month. Bylooking 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 & 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 9950-9800 levels on nifty & 32400-31800 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 27.04.2018
Market closed in positive territory at 34,969.70 (+ 256.10)SLOW BUT STEADY EXTENDING FURTHER ON UPSIDE: TRAIL TILL IT REVERSES
BEGINING OF WAVE-V UPWARD RALLY TOWARDS HIGHER LEVELS TARGETS IN MEDIUM TERM:
ANY KIND OF SHORT TERM CONSOLIDATION OR DECLINE IS STOCK SPECIFIC BUYING OPPORTUNITY FOR MEDIUM TO LONG TERM INVESTMENT PERSPECTIVES:
As mentioned last week, about end of medium term wave-IV correction & beginning of wave-V upward rally towards higher levels targets in medium term as preferred wave counts. It looks like market has completed short term correction near recent low of 9951.90 levels on nifty & 32,483.84 levels on sensex. It has almost retraced almost 38.2% near recent lows in these short term correction as per chart attached. It looks like beginning of wave-I of 5 as per chart attached as per preferred wave counts with ruling out possibility to break recent lows as mentioned above till short term reverses. Any kind of such short term correction or consolidation is buying opportunity for medium to long term Investment perspectives till medium term reverses.
BANK NIFTY also closed weekly in positive territory. It has outperformed during this week. It has complete short term correction as per chart attached & started the rally further in short term. It made a low of 24705 levels during week. One can expect higher levels targets around 26600 levels till it holds crucial support of 24700 levels in short term & further above 29600-30000 levels in medium term.
10500 & 11000 levels is strong support & resistance levels range respectively based on option open interest data so far for current month series. Market will remain very volatile ahead of Result season this month. Bylooking 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 & 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 9950-9800 levels on nifty & 32400-31800 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 |
| 35350-35600 |  | 33505 |
| Medium Term : | Trend | Reversal |
| 38200-38500 | | 29077 |
| Short Term : | Trend | Reversal |
| 10850-10900 | | 10279 |
| Medium Term : | Trend | Reversal |
| 12000-12200 | | 8968 |