Monday, July 20, 2015

NIFTY OUTLOOK FOR TUESDAY 21 JULY 2015

"BUY IFCI FUTURE ABOVE 25.7 TG 26.3/26.95 SL 24.9"
"BUY IDEA FUTURE ABOVE 185.4 TG 187.2/188.4 SL 182.7"
Local equity market extended previous week’s somberness to the fresh one and ended with loss, albeit slender of around one tenth of a percent that dragged Sensex below 28450 level, while Nifty managed to close above 8600 mark.  Market, in absence of any trigger, moved in a tight range throughout the session and ended the session flat with negative session. Much of the caution prevailed ahead of the monsoon session of parliament where key reforms such as land acquisition bill are expected to be presented. However, losses remained restricted on account of positive global set-up. The Sensex touched a low of 28320 - down 224 points from the day's high in intra-day deals. A late recovery in the market helped the index recoup some of the losses. The Sensex finally ended with a marginal loss of 43 points at 28420. The Nifty swung in a range of 65-odd points. The index from a high of 8624, slipped to a low of 8559, before recovering at close and settling at 8603 - down mere six points.
There is a degree of indecision among the bulls. It is still a one-sided game between the bulls and the bears, with the former still comfortable control over the turf.Our view are that so long the bulls are able to hold the Nifty above 8600–8620 range, there would not even be any minor threat for them. Only when you see it falling below 8550 on high volume expects lower levels of 8530 through 8510 getting retested. Till such time, the Nifty breaks 8500 decisively, the bulls would retain their advantage and we could expect renewed buying at lower levels once the selling is through. A fall below 8520 would signal that 8540 has been taken out the bears; however, as of now that looks like a tall order!
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RESISTANCE: 8630, 8660, 8690

SUPPORT:  8600, 8570, 8540           

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