NIFTY WEEKLY REPORT FOR 04–08 SEP 2017

WEEKLY RESISTANCE FOR NIFTY: 9928,9976,10006,10114

PIVOT POINT: 9879

WEEKLY SUPPORT FOR NIFTY :  9849,9819,9771,9722

WEEKLY CHAT FOR NIFTY

DAILY RESISTANCE FOR NIFTY: 10010, 10034, 10050,10065

PIVOT POINT: 9985

DAILY SUPPORT FOR NIFTY :  9954,9930,9905,9865

DAILY CHART FOR NIFTY

Sensex opened the week at 31739, made a high of 31894, low of 31376 and closed the week at 31874. Thus the Sensex closed the week with gain of263 points.At the same time the Nifty opened the week at 9925, made a high of 10017 low of 9815 and closed the week at 10003. Thus the Nifty closed the week with gain of 123 points.Positive global cues coupled with buying in automobile and healthcare stocks lifted benchmark equity indices for a third straight day on Friday. as a weaker-than-expected economic growth data raised hopes the central bank would cut interest rates in October.

Initiate Fresh Long Positions Until Nifty Holds 9830

On the daily charts, Nifty have formed a very small Opening Black body Marubuzo, which is almost like a neutral formation. On the weekly charts, both the indices have formed a Dragon Fly Doji except for small upper shadow. Thus daily as well as weekly candlestick patterns suggest sideways to Bullishness in the near term. If nifty futures manage to break above 10020 decisively, the downside pressure may ease. The contract can then rise to 10,150 and 10,180.See immediate resistance at this level but overall market looks to continue positive momentum.Traders can go long at dips in the market until Nifty holds above 9830 levels on closing basis. On the other hand, A strong break below 9830 will increase the downside pressure and Last three weeks have seen market moving in a trading range between Nifty 9755-9940. The Correction will intensify, if we close below the critical Trendline Support of Nifty 9750. Not only will the lower boundary of the trading range be broken, but also the doors will be open to testing lower Correction levels which are placed at Nifty 9280-9015-8751.

TECHNICALLY SPEAKING.

MACD despite being in positive zone continues with its buy signal. Price ROC continues to remain positive and in buy mode. RSI (65) still suggests Bullish momentum. As long as the NIFTY trades above the level of  10000. the outlook for the session will remain bullish. Nifty can continue its up move on a strong rally beyond its immediate resistance level of 10100. Next key resistances are at 10150, 10200 and 10230 levels.Key supports below 9930 are at 9900,9870 and 9830.

This week, the indices tested the short term average of 22 dma Nifty – 960 8close above it. The indices continue to remain above the medium term average of 55dma Nifty – 9150 but above the long term average of 200dma Nifty –8080. Thus the trend in the long term has remained bullish whereas the trend in the medium term timeframe continues to remain bullish.