NIFTY WEEKLY REPORT FOR 01 AUG TO 05 AUG 2016

WEEKLY RESISTANCE FOR NIFTY: 8664, 8708, 8732, 8756

PIVOT POINT: 8619

WEEKLY SUPPORT FOR NIFTY :  8595,8571,8527,8482

WEEKLY CHAT FOR NIFTY

DAILY RESISTANCE FOR NIFTY: 8698, 8707, 8715,8724

PIVOT POINT: 8688

DAILY SUPPORT FOR NIFTY :  8672, 8663, 8653, 8636

DAILY CHART FOR NIFTY

Sensex opened the week at 27737, made a high of 28268, low of 27669 and closed the week at 28051. Thus it closed the week with gain of 248 points. At the same time the Nifty opened the week at 8590, made a high of 8744, low of 8565  and closed the week at 8686. After gaining for two consecutive trading sessions, the Indian equity market closed lower on Friday. The key indices dropped in the morning trade on Friday on profit-booking by participants as the August derivatives series began on a negative note.

Market To See Some Sharp Correction But Buy At Dips Until Nifty Holds 8550 by Closing

Technically, Indian Stock Market is forming bearish pattern, so a small negative news can force market to slide down very sharply. Overall Market has seen a breakout and we would see sharp positive movements in days to come. Next target is 8750-8800 for Nifty. If upcoming results support then this positive movement would continue till 8800 levels for Nifty The only strategy for the traders should be to hold long positions or initiate fresh long positions at every dip in the market. Now GST Bill would be the next trigger for the Indian Stock Market. Until GST Bill news comes out Market would consolidate. Traders can go long at every dip in the market until GST Bill final decision is disclosed. Nifty would see strong support at 8600-8550-8530-8496 whereas strong resistance would be seen at 8707-8741-8775-8800 levels.

CONSOLIDATION AUGURS WELL FOR BULLS.

In a Bull market, it is normal to have a consolidation after a sharp upward move .The current consolidation augurs well for the Bulls, as it will provide adequate strength to the Bulls to challenge the immediate short term top (Nifty 8704) and then continue with its upward journey. One positive aspect for the week was the Sensex closing above the strong Retracement level of 61.8% i.e. 28050 Friday trading sessions. As long as it trades above this level, one can expect the indices to challenge their life time highs.