NIFTY WEEKLY PREDICTION FOR 03–07 JULY 2017

WEEKLY RESISTANCE FOR NIFTY: 9562, 9592, 9634, 9676

PIVOT POINT: 9532

WEEKLY SUPPORT FOR NIFTY :  9490,9448,9418,9388

WEEKLY CHAT FOR NIFTY

DAILY RESISTANCE FOR NIFTY: 9522, 9545, 9561,9576

PIVOT POINT: 9498

DAILY SUPPORT FOR NIFTY :  9483,9467, 9444,9420
DAILY CHART FOR NIFTY

Sensex opened the week at 31223, made a high of 31231, low of 30690 and closed the week at 30920. Thus the Sensex closed the week with loss of 141 points.At the same time the Nifty opened the week at 9596, made a high of 9638 low of 9451 and closed the week at 9515. Thus the Nifty closed the week with loss of 75 points.The Sensex and Nifty erased early losses and ended higher on Friday as some consumer goods firms expected to benefit from the launch of a unified goods and services tax gained, offsetting declines in sectors such as autos that would be hit.

Strategy: GO LONG ONLY ABOVE 9530 , sell on rise until nifty holds 9530

Today, Nifty took support at around 9,450 and began to recovery. The contract now tests the key resistance at 9,530. Nifty is in recovery mode. The nifty breadth biased towards declines.Though the contract witnessed buying interest at lower level and is on a recovery path, the near-tern downtrend continues to be in place. Therefore, traders with a short-term perspective should tread with caution and consider initiating fresh long positions on a strong rally beyond 9,530 levels. Such an up move can ease the selling pressure and take the contract higher to 9,540 and 9,580 levels in the short term. a strong fall below the immediate support level of 9,450 can reinforce the downtrend and pull the contract down to 9,430,9430 levels. Next key supports are placed at 9,410 and 9,380 levels.
TECHNICALLY SPEAKING.

MACD despite being in negative zone continues with its Sell signal. Price ROC continues to remain negative and in sell mode. RSI (67) still suggests Bearish momentum. As long as the contract trades below the level of 9530, the outlook for the session will remain bearish. Traders with a short-term perspective can buy the contract in dips with a stop-loss at 9,450 levels. Nifty can continue its up move on a strong rally beyond its immediate resistance level of 9,530. Next key resistances are at 9,550 and 9,580 levels.Key supports below 9,450 are at 9,430 and 9410.

This week, the indices tested the short term average of 22 dma Nifty – 9490 close above it. The indices continue to remain above the medium term average of 55 dma Nifty – 9450 but above the long term average of 200 dma Nifty –8900. Thus the trend in the long term has remained bullish whereas the trend in the medium term timeframe continues to remain bearish.