Market Outlook
FRIDAY, SEPTEMBER 30, 2022
Market Outlook (Closing) as on 30.09.2022
Market closed in positive territory at 57,426.92 (+1016.92)
FIRST SHORT TERM TARGETS ACHIEVED: TRAIL TILL IT REVESES:
DERIATIVE DATA INDICATING BEARISH SET UP IN SHORT TERM WITH CAUTION:
CONCLUDING MEDIUM TERM REVERSAL: THIS CORRECTION IS VERY GOOD STOCK SPECIFIC BUYING OPPORTUNITY FROM LONG TERM INVESTMENT PERSPECTIVES:
INDIA WILL CONTINUE TO OUTPERFORM WORLD MARKET IN NEAR TERM:
US MARKET IS AT VERGE OF CLIMAX TARGETS ZONE WAVE-Z OF MEDIUM TERM (WXYXZ) CORRECTIVE PHASE:
USD/INR & DXY ALSO NEAR FINAL MEDIUM TERM TARGET ZONE:
Market closed daily in positive territory. It has achieved my first short term targets levels as expected so far in this correction. It made a low of 56147.23 levels on sensex & 16747.70 levels on nifty. It sharply bounced back from these levels at the end of weekly trading session. Although market closed 3rd consecutive week in negative territory. It has strong support zone around 16650-16800 levels on nifty & 56150 levels on sensex in short term as per chart attached. One should watch out market behavior at these levels in short term. It may trade in range between 16700-17400 levels with high volatility for some more time ahead of global market correction. Investor should buy stock specific in this correction & Trader should wait for further evidences or market to reverse to finally conclude short term reverses.
It looks like Wave-II correction after recent rally from July 2022 bottom as per wave counts chart attached. It looks like impulsive rise from July 2022 lows. India will continue to outperform world markets in short term. US Markets is at the verge of climax targets zone of medium term corrective phase. If it managed to hold this crucial support zone, then we may see sharp reversal from here on in coming days.one should closely watch out US Market behavior near these climax targets levels of final wave-Z of (WXYXZ) correction. And USD/INR & DXY both looks near final medium term targets levels. These all evidences supporting & sufficient enough to conclude end of medium term correction in Indian equity markets since October 2021. Therefore, this correction is a buying opportunity for long term Investment perspectives.
Bank nifty is outperforming at current levels. It has also achieved my short term targets levels near recent lows as expected. It made a low of 37386.35 levels so far in this correction. It sharply bounced back from these levels at the end of weekly trading session. It has strong support around 37350-36800 levels in short term as per chart attached. It may also trade in range of 39800-37300 for some more time ahead of global market correction. Break of this support zone will lead to sharp selloff till 36000 levels in short term, it remains down till Bank nifty trades below 40500 levels. One should wait for further more evidences to conclude short term reversal. 34450 are crucial support/reversal levels from medium term perspectives till it holds one can expect targets of around 48000 levels in medium term. One should buy stock specific or Index from medium term perspectives till it reverses.
16500-16800/17500 is strong support zone & Resistance zone levels respectively based on option open interest data for current month series so far from expiry perspectives. Derivatives data indicating bearish set up in short term with caution. Market will remain volatile ahead of global market correction.
Momentum indicators Daily KST & Daily MACD both are in SELL supporting short term trend. Break of this short term support levels will lead to sharp selloff till 16275 levels on nifty & 54600 levels on sensex in short term. Investor should use any kind of correction or consoldation to buy stock specific in tranches in disciplined manner from long term perspectives.
Momentum Perspective:
Weekly KST & Weekly MACD both came in to BUY. Market closed above 20WESM & 40 WEMA. All the evidences are supporting with medium term trend.
Conclusion:
Short Term Trend is DOWN & Medium term Trend is UP
Trend
Market Outlook (Closing) as on 30.09.2022
Market closed in positive territory at 57,426.92 (+1016.92)FIRST SHORT TERM TARGETS ACHIEVED: TRAIL TILL IT REVESES:
DERIATIVE DATA INDICATING BEARISH SET UP IN SHORT TERM WITH CAUTION:
CONCLUDING MEDIUM TERM REVERSAL: THIS CORRECTION IS VERY GOOD STOCK SPECIFIC BUYING OPPORTUNITY FROM LONG TERM INVESTMENT PERSPECTIVES:
INDIA WILL CONTINUE TO OUTPERFORM WORLD MARKET IN NEAR TERM:
US MARKET IS AT VERGE OF CLIMAX TARGETS ZONE WAVE-Z OF MEDIUM TERM (WXYXZ) CORRECTIVE PHASE:
USD/INR & DXY ALSO NEAR FINAL MEDIUM TERM TARGET ZONE:
It looks like Wave-II correction after recent rally from July 2022 bottom as per wave counts chart attached. It looks like impulsive rise from July 2022 lows. India will continue to outperform world markets in short term. US Markets is at the verge of climax targets zone of medium term corrective phase. If it managed to hold this crucial support zone, then we may see sharp reversal from here on in coming days.one should closely watch out US Market behavior near these climax targets levels of final wave-Z of (WXYXZ) correction. And USD/INR & DXY both looks near final medium term targets levels. These all evidences supporting & sufficient enough to conclude end of medium term correction in Indian equity markets since October 2021. Therefore, this correction is a buying opportunity for long term Investment perspectives.
Bank nifty is outperforming at current levels. It has also achieved my short term targets levels near recent lows as expected. It made a low of 37386.35 levels so far in this correction. It sharply bounced back from these levels at the end of weekly trading session. It has strong support around 37350-36800 levels in short term as per chart attached. It may also trade in range of 39800-37300 for some more time ahead of global market correction. Break of this support zone will lead to sharp selloff till 36000 levels in short term, it remains down till Bank nifty trades below 40500 levels. One should wait for further more evidences to conclude short term reversal. 34450 are crucial support/reversal levels from medium term perspectives till it holds one can expect targets of around 48000 levels in medium term. One should buy stock specific or Index from medium term perspectives till it reverses.
16500-16800/17500 is strong support zone & Resistance zone levels respectively based on option open interest data for current month series so far from expiry perspectives. Derivatives data indicating bearish set up in short term with caution. Market will remain volatile ahead of global market correction.
Momentum indicators Daily KST & Daily MACD both are in SELL supporting short term trend. Break of this short term support levels will lead to sharp selloff till 16275 levels on nifty & 54600 levels on sensex in short term. Investor should use any kind of correction or consoldation to buy stock specific in tranches in disciplined manner from long term perspectives.
Momentum Perspective:
Weekly KST & Weekly MACD both came in to BUY. Market closed above 20WESM & 40 WEMA. All the evidences are supporting with medium term trend.Conclusion:
Short Term Trend is DOWN & Medium term Trend is UP
Trend
| Short Term : | Trend | Reversal |
| 56150/55800 |  | 58488 |
| Medium Term : | Trend | Reversal |
| 68000 |  | 53160 |
| Short Term : | Trend | Reversal |
| 16800/16650 | | 17430 |
| Medium Term : | Trend | Reversal |
| 20400 | | 15850 |