Skip to main content

Market Awaiting for Budget 2020.


From past few days market trading in a tight range 12170-12020.
Within the gap zone as mentioned in last update.
Directionles sideways momentum. Important to note that on Higher side resistance at 12170 and on lower side gap support at 12033.
It looks like this zone is equilibrium for Bulls and bears.
Bulls have important crucial support placed at 11927-11900 zone. This zone can be demand zone to create long positions. Any selling pressure can lead nifty to this critical support zone.
Bulls need to protect this crucial support zone in order to keep uptrend intact.
In case, Bulls fails to protect this support, can turn intermediate trend into Bearish.
Hence, 11927-11900 can be TREND DECIDING ZONE.

Move above important resistance zone12150-12170 would indicate resume of uptrend.
Hence, its important to watch 12170 on Higher side and 11900 on lower side for trend identification for next month.

Conservative approch is to wait till completion of Budget presentation and wait for market direction.
Close below 11900 is bearish, Close above 12170 is Bullish.
Wait for breakout of this range to initiate fresh trading position.

Regards,
Suryadev Bandari
Research analyst
www.earningwave.com



Popular posts from this blog

Up move to continue. New Highs to form again.

Nifty recorded new high on Friday 12311.20 After recording new high, nifty faced minor selling pressure and dipped down to 12217 level. There again Bulls entered fresh longs and index closed nearly 12256 level. Today, Nifty again likely to record new highs and this up move to continue more towards 12360-12375 levels. Major High beta stocks ready to move higher levels. Banknifty did not made new high on Friday, so most probably , banknifty to test previous highs today and may record new high. Avoid short selling. This is buy on dips market. Nifty Resistance 12360-12375-12400. Support 12210-12170. Regards, Suryadev Bandari Research Analyst www.earningwave.com

Exhaustion gap formed. Bulls strength eroded???.

Nifty bounced back strongly on back of Major news announcement of Cut in Corporate Tax on Friday. Today nifty retraced 61.8% of entire fall. As of Now, wave 2 in finishing stages.  More possibility for Wave 3 down to begin any time soon. Hence, Be cautious. Its time to reduce long positions. Profit booking time. From current levels, nifty likely to retest 11000 levels anytime. Short term top made. New highs may not be possible from here. Keep booking profits in long positions. Wave 3 Impulsive Down move can begin any time. Regards, Suryadev Bandari Research Analyst www.earningwave.com

Triangle formation still in progress. 8900-9200 upward resistance.

Nifty still in a triangle formation and wave e of the triangle is due as per updated pattern. The minimum upside for the short term is 8900-9200. Avoid fresh short selling at this juncture. Pull back rally is due. Supports can be found at 7700-7500. The range is Huge, so risk also high. Private sector Banks also completing triangle like formations in their respective charts. We can see some short term buying in private banks at these lower levels. Trade accordingly. Regards,  Suryadev Bandari Research Analyst