Pre Market Analysis – 11th Oct 2021
Indian markets in dollar terms were up 1% for week as Nifty rallied 2% despite sharp drop in rupee and USDINR closing above 75. First time after August 2020, USDINR has posted weekly closing above 75 and we can expect move towards 78 in quick succession from here on. Last week, due to rupee depreciation, technology index was up 5% but from here on, we can expect major unwinding in financials...
Pre Market Analysis – 8th Oct 2021
Market bounced sharply after US Senate increased debt limit by $480 Bn averting major debt default later this month. Nifty rallied by 1% but late selling forced Nifty to close below short-term resistance of 17802. Currently USDINR has signalled a breakout for a possible target of 78 in days to come and with such high bullishness in USDINR, Nifty and Nifty Bank are unlikely to sustain at...
Pre Market Analysis – 7th Oct 2021
Markets reacted sharply yesterday to depreciating rupee after USDINR crossed 74.60 mark and forced Nifty to end with losses of 1% while Bank Nifty settled below 37708. A breakout above 74.60 has opened gates for 80 in weeks to come and we can expect major hit to occur in Bank Nifty which is struggling to sustain above Feb 21 highs. Bank Nifty is currently 2% away from major breakdown and...
Pre Market Analysis – 6th Oct 2021
Markets showed resilience and extended gains amid mixed global cues as expectations of strong September quarter earnings lifted investors’ sentiments. The uptrend texture is likely to continue up to 17,880-17,900 levels. On the flip side, below 17,750, it may trigger quick intraday correction up to 17,710 US stocks rebounded sharply from Monday’s rout, with the Dow Jones adding more than...
Pre Market Analysis – 5th Oct 2021
Markets rallied 1% on hopes of accommodative stance by RBI in upcoming credit policy but situation has suddenly turned grim after Brent crude prices rose from USD 78 a bbl to USD 81 a bbl in late afternoon. With Nifty already holding Bearish Dark Cloud Cover in the previous week, markets are at a risk of major meltdown and a move above 74.50 in USDINR could add fuel to fire during a...
Pre Market Analysis – 4th Oct 2021
Market for the week ended in deep red with Nifty declining by 2% and also forming bearish dark cloud cover on weekly candlestick pattern after bearish upside gap two crows on daily basis. This back to back bearish combination is an indication of extended correction in markets and we may see double digits decline in coming days after Nifty breaks support of 17400. So far, the weakest sector...
Pre Market Analysis – 1st Oct 2021
Nifty ended with losses of 0.5% led by weakness in Bank Nifty while broader markets remained firm due to outperformance in midcap and small cap stocks. FIIs in the last 3 trading session has sold more than Rs 20,000 crore in cash plus future segment and this has occurred after BNY India Depository Receipt Index breached critical support on Tuesday. We expect aggressive selling in markets on...
Pre Market Analysis – 30th Sept 2021
The benchmark indices ended lower for the second consecutive session on Wednesday amid volatility. Recovery in European markets and buying at lower levels helped the indices recoup losses. The Nifty once again took support near the 10-day SMA or 17,600 and reversed sharply. After yesterday’s sharp intraday fall, the index has formed a inside bar candle pattern which indicates...
Pre Market Analysis – 29th Sept 2021
Nifty confirmed major trend change after closing below 17802, which activated bearish setup of upside gap two crows on candlestick. This setup has coincided with major breakdown in India ADR Index which has opened potential downside of 20% in the Indian markets. Meanwhile, a move above 74 in USDINR is likely to see further selling in Indian bonds with USDINR positioned to hit 77.50 in the...