Nifty:
The Nifty futures started the last week on negative note on Monday and traded with negative movement throughout the week. but major volatility was seen in the last session of the week where index lost more than 350 points initially but managed to recovered some losses in second half the day. Which led index to give closing with 372 points or 3.23% loss on weekly basis. The index has breached its crucial support placed at 11,250 levels and closed way lower to its major support. The index after gap opening immediately slipped into red and closed at psychological 11,000 levels for first time since July 19, forming bearish candle on the daily charts which also resembles a 'Bearish Beld Hold' kind of pattern. If index managed to trade below 11000 levels than further selling can be seen in it. Major resistance is placed at 11200 levels while down side support is placed at 10850 levels. On option front, maximum Put open interest is at 10,800 followed by 10,700 strike while maximum Call is at 11,200 and 11,500 strikes.
For this week, traders can adopt sell on higher level strategy in it and below the level of 10,965. It can test the level of Rs. 10,845 during the week. Trades can make sell position in it by maintaining a Stop Loss of Rs. 11,065.
Bank Nifty:
The Nifty Bank index started the last week on negative note and traded with bearish movement throughout the week. On last trading session index tumbled more than 750 points due to which it gave closing on heavy negative note on weekly basis with loss of 1566 points. Going ahead, index has breached its major support levels of 26000 on daily charts and trading way below its support levels. if index manages to trade below the levels of 24950 in coming session than further down side move can be expected in it. Resistance is placed at 25750 on upside while support is placed at 24700 on down side.
For this week, traders can adopt sell on higher level strategy in it and below the level of 24940. It can test the level of Rs. 24740 during the week. Trades can make sell position in it by maintaining a Stop Loss of Rs. 25101.
After last week carnage in Indian equity market there was no respite in this week also. As the last week was only trailer of the movie , where index showed some glimpses of negativity but full show was shoed in Friday's trading session as index lost more than 350 points within a minutes on the news of negativities in NBFCs major DHFL , IBULLHSGFIN etc. due to which this stocks lost 20-45% in that session with sentiments gaining triggered a panic selling was seen across all the index. Bears were in full control for in last week. Despite the good performance in world market is was again USD/INR due to which our markets remained under pressure as USD/INR again gained some strength after one week of consolidation. Crude oil price are now 52 week highs which is also acting negative to our Indian markets. Going ahead there are many global economic events are line up in this week (Fed Interest Rate Decision is the major events) which could further trigger the sentiments of the market.
Fundamentals of Nifty:
HCLTECH
Last week, HCLTECH started the week with upside movement and traded near to its 52 week high with consolidation. It made a high of 1098 during the week and closed at 1084.90 with the overall gain of around 1.10% on weekly basis. Technically it’s Consolidating from last two weeks and forming Bullish Flag pattern. For this week, we can expect up side move in it.
For this week, traders can adopt buy from 52 week high breakout strategy in it and above the level of 1110 it can test the level of 1140 during the week. Trades can make buy position in it by maintaining a Stop Loss of 1087.
Last week, VEDL NSE Cash started the week with gap up opening and then traded sideways to negative the entire week. It made a high of 237.75 during the week and closed at 230.45 with the overall loss of around 2.20% on weekly basis. Technically it’s forming Symmetrical Triangle Pattern on daily chart and in weekly chart it formed Bullish Hammer Pattern. For this week, we can expect up side movement in it.
For this week, traders can adopt buy on pattern breakout strategy in it and above the level of 238 it can test the level of 248 during the week. Trades can make buy position in it by maintaining a Stop Loss of 233.
Last week, JETAIRWAYS Sept Futures started the week on negative note and after that it broke the 52 week’s low during the week. It made a low of 222.60 during the week and closed 230.40 with the overall loss of 13.86% on weekly basis. Technically it had given breakout of Symmetrical Triangle Pattern from the 52 week’s low with higher volume and we can expect more downside movement in it.
For this week, traders can adopt sell on Pattern breakout strategy in it and below the level of 215.50 it can test the level of 201.50 during the week. Trades can make sell position in it by maintaining a Stop Loss of 221.50
Last week DHFL Sept Futures moved in negative trend and after breaking the 52 week’s low, it made low of 275.4 during the week and closed at 350.95 with the overall loss of 43.40% on weekly basis. Currently it trading in oversold zone and technically from here, we can expect short covering in it.
For this week, traders can adopt buy on lower level strategy in it and above the level of 400, it can test the level of 480 during the week. Trades can make buy position in it by maintaining a Stop Loss of 394.00
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