Update 5.50 PM 12th December 2018 - Just got the news about consumer inflation being eased to 2.22% , almost by 100 basis points (1%), Today's upsurge could be on account of that.. be cautious tomorrow.....
Cheers
Hi....
Today's post heading is a famous Bollywood dialogue of Firoz Khan from the comic movie "Welcome", and somehow it suits perfectly to the current political and markets scenario. The actors speaking this dialogue would be Congress and Bulls of Dalal street.... Lol
On the political front, yesterday Congress proved their strength by winning the Assembly Election battle with BJP by stunning margin of 3-0 (Rajasthan, Chhattisgarh and almost certainly Madhya Pradesh). This can be a vital development, especially when we are near to the General LS elections of April-May 2019 and the fact that it is a focal point for all the opposition parties which are against the BJP.
On Dalal Street, on 2 consecutive days bulls showed their power by giving a movement of more than 400 points from the bottom of 10330 yesterday.
As we expected in yesterday's post, after surpassing 10600 mark, Nifty today zoomed up and crossed the target of 10700.
Nifty created a high today of 10752, which is above the downward gap between 5th and 6th December 2018, on daily charts which is a good thing, ideally it should close above the 10750 mark though.
Also, Nifty crossed and closed above 10710-10720 levels, a 61.8% mark of the recent fall (from 10940 - 10330) which is another healthy sign. Hereon, markets should sustain these levels and need to comfortably surpass 10810-10820 mark, which is the 78.2% retracement and becomes very crucial to to pull the prices down from there. Also, 10810 to 10870 mark is very crucial zone as daily Supertrend is near 10860 and there are multiple gap downs on daily charts, which will act as a resistance on a closing basis
In order to stop the bulls juggernaut, bears need to restrict bulls before the above mentioned hurdles
Crucial levels to watch out for -
Supports - 10620-10550-10480-10430-10300-10100-10000-9950-9700
Resistance - 10750-10820-10860-10950-11050-11170
Cheers
Hrishi
Today's post heading is a famous Bollywood dialogue of Firoz Khan from the comic movie "Welcome", and somehow it suits perfectly to the current political and markets scenario. The actors speaking this dialogue would be Congress and Bulls of Dalal street.... Lol
On the political front, yesterday Congress proved their strength by winning the Assembly Election battle with BJP by stunning margin of 3-0 (Rajasthan, Chhattisgarh and almost certainly Madhya Pradesh). This can be a vital development, especially when we are near to the General LS elections of April-May 2019 and the fact that it is a focal point for all the opposition parties which are against the BJP.
On Dalal Street, on 2 consecutive days bulls showed their power by giving a movement of more than 400 points from the bottom of 10330 yesterday.
As we expected in yesterday's post, after surpassing 10600 mark, Nifty today zoomed up and crossed the target of 10700.
Nifty created a high today of 10752, which is above the downward gap between 5th and 6th December 2018, on daily charts which is a good thing, ideally it should close above the 10750 mark though.
Also, Nifty crossed and closed above 10710-10720 levels, a 61.8% mark of the recent fall (from 10940 - 10330) which is another healthy sign. Hereon, markets should sustain these levels and need to comfortably surpass 10810-10820 mark, which is the 78.2% retracement and becomes very crucial to to pull the prices down from there. Also, 10810 to 10870 mark is very crucial zone as daily Supertrend is near 10860 and there are multiple gap downs on daily charts, which will act as a resistance on a closing basis
In order to stop the bulls juggernaut, bears need to restrict bulls before the above mentioned hurdles
Crucial levels to watch out for -
Supports - 10620-10550-10480-10430-10300-10100-10000-9950-9700
Resistance - 10750-10820-10860-10950-11050-11170
Cheers
Hrishi
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