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Nifty Bank nifty and Dalal street In 1st week Of June 2020- Global Markets will be the KEY

Nifty Bank nifty and Dalal street In 1st week Of June 2020- Global Markets will be the KEY
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Before moving to analysis of coming week ,lets have recap what we had discussed on last week as Nifty had Precise Expiry nearby to 9500 as last been discussed by me on 24th May Post.
As we told that Bank nifty remain in extreme oversold condition, it went precisely correct and from that level it moved strongly to the level of 250 points

This week technical remain more or less same, for support level OI build up and resistance we can refer this write up as well.

The most important events which may dominate the technical this week is some strong bear sentiments prominently to be look forward.
!) US president statement to declare important decisions on Friday evening about trade deals with china,although he cleverly left rooms for negotiations.
2)India's  GDP data, which was hugely expected to be on negative side , ultimately came as positive as 3%, see market has already discounted this news in terms of being bearish as it was supposed to come in negative territory but it surprised .
3) Auto Sector monthly sales data as it was broadly discussed and has  Chinese whisper that due to lock down it will be negative since none of production has happened.but it has hardly affected Auto sector because market didn't get affect with news which has no element of surprise to it, infarct Hero motocorp is trading now in that range what it was trading before breakout of pandemic that is 2400,infarct auto sector had good rally.
4)Last one is Corona virus cases is in full swing in India and it has become worlds's highest lock down period.
5) Last is Border dispute ,which market didn't give importance even last week and gave good results last week

One important thing is that in case of Bull case scenario is that Trump is always open to negotiations with china ,US market didn't fall and closed in greens
Indian markets GDP data was not as bad as it was expected but since it was Jan to march quarter  and most of the time all industrial and economic activities were on so it can be termed as not satisfactory.Most concerning thing can be of this quarter of April to June 20 .But GDP  is always lag indicator not lead indicator.
Auto sales data as discussed has been already subsided by market because it was expected only and it has been not given any importance by Market.
How long FII's will keep on selling ,entire month it was around a figure of 15,000 crore and due to last week's bullishness it is apparent they have come back in market and whenever followup rally comes in market it goes up to level of at least 1000 points by FII's.
There may be a knee jerk reaction on Monday but overall market sentiment on rest of days will remain bullish as FII's data indicates entering into the market again and hence there is no point ,they will runaway just after entering.
Coming on to finally technical as Open interest , 9000 and 10000 put and call are highest and due to world margin system OI data is not substantial but due to implementation of new margin system , we are expecting it to shoot up.
 Hence 9700- ,9800 &10000 will remain R1 ,R2,R3 and 9500,9400,9200 will be major S1.S2,S3 for entire week


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