Skip to main content

Nifty Bank nifty outlook and expectations 12th June


  • US markets fell nearly 7%.
  • Second wave of Corona Virus, Fed cautious outlook for Economy, Nasdaq trading at all time high, all contributed to huge profit booking.
  • All stocks that shot up, airlines, cruise liners, all that benefit due to opening up of Economy, came under severe selling pressure.
  • In Feb 2018, Dow fell 5% during the market hours, when Asian markets opened next day morning, Dow Future fell another 5%.
  • Probably Institutional sell data was very bad that day.
  • But today, after falling 7% yesterday, Dow Futures is up nearly 300 points.
  • So that reduces damage in Asia.
  • SGX Nifty hit a low of 9400 yesterday night, now trading around 9600.
  • In fact we partially factored in in yesterday's trade.
  • We should not fall more than 2 to 3%.
  • DIIs may step in, in the afternoon to support the market. We can expect some recovery towards the end of the day.
  • Who knows? Govt may reduce GST rates in today's GST Council meet.
  • If anything like that happens and if US markets recover tonight, we see interesting Monday.
  • Markets have been highly volatile since May.
  • But Corona problem is getting worse in India, now India is fourth most affected country.
  • Yesterday both FIIs and DIIs have sold for more than Rs 800 crores each in Cash market.
  • Nifty 9900 was a good support but that was broken yesterday.
  • Next support is at 9500. With today's expected fall Nifty would have retraced 50% of the last rise from 9800 to 10350.
  • So logically that should be a good support.
  • Though there is an increase in Corona infections in US, US has no intention of closing the Economy.
  • I will not be surprised if Nifty closes above 9700 today. 
  • SGX Nifty seems to be over reacting. 
  • But markets will be under pressure in the morning, may be some margin Calls.
  • Now Nifty 10000 will be the resistance for the rest of the series.
  • So I am planning to sell CE above 10000.
  • SGX Nifty seems to be over reacting. 
  • Nifty future may trade between 9500 and 9800

    • Comments

    Post a Comment

    Popular posts from this blog

    Golden Cross Stock Trading Strategy

      he Golden Cross stock trading strategy is an example of a simple long term trend following system. This is one of the most popular and famous bullish moving average crossover signals that is watched and talked about on financial media when they occur on major indexes. The second most popular being the loss of the 200-day moving average on a stock market index like the S&P 500 or the Dow Jones Industrial Average. The Golden Cross happens on a stock chart when the 50-day simple moving average crosses over the 200-day simple moving average and stays above until the end of the day. This signal has you go long when the 50-day simple moving average closes above the 200-day simple moving average and takes you back to cash when the 50-day SMA closes back under the 200-day SMA which is signaling the Death Cross. The inverse of the bullish Golden Cross is the bearish Death Cross which is a signal to exit long positions or a short selling signal. This trading strategy is best compared t...
    Post a Comment
    Read more

    Pre Market Report, Jan 29, 2021

      US markets closed higher. But it has given up half of the gains in last hour. Asian markets are mostly positive. SGX Nifty crossed 14050 yesterday night but now trading around 13970. Still this will be a gap up of more than 100 points. Nifty has fallen more than 1000 points intra month in Jan series. Bank Nifty has fallen more than 3000 points intra month in Jan series. Last month FIIs began with more than 75% long in F&O. This month it is only 62%. Markets are light going in to budget. Decissive direction will be set only after budget. For very short term, 50DMA of 13700 is a good support. Yesterday markets took support near 13700. Pharma stocks will be in focus as many pharma stocks will declare results. Moreover when overall markets are weak, pharma and FMCG tend to do well. Whenever huge selling happens in bluest of blue chip stocks like HDFC Bank and HDFC, the bottom is somewhere near. Yesterday I could feel that, at the same time, markets may not rally from here. Market...
    Post a Comment
    Read more

    STOCK CHART PATTERNS

      Stock chart patterns   are simply a visual representation of the prices buyers and sellers bought and sold at in the past. There is no magic in a chart pattern they just show you what happened in the past and what has a higher probability of happening in the future. The best use of chart patterns is to take a wider view of the trend on your time frame of choice and follow the path of least resistance.  A chart pattern can show that a stock is in a range with defined resistance and support. A chart could also show an uptrend of higher highs and higher lows or a downtrend of lower highs and lower lows. Stock chart patterns signal whether a stock is under accumulation or distribution or just trading in a defined price range.  The most popular use of stock chart patterns is for breakout trading signals as the probability increases of a move in a specific direction after a price breakout of a previous support or resistance. They are basically momentum indicators. The va...
    Post a Comment
    Read more