NIFTY WEEKLY REPORT FOR 16 OCT TO 20 OCT 2017

"Wishing you a very Happy Diwali. May all have a super successful trading year. "

WEEKLY RESISTANCE FOR NIFTY: 10114,10162,10188,10213

PIVOT POINT: 10065

WEEKLY SUPPORT FOR NIFTY:  10040,10014,9966,9917

WEEKLY CHART FOR NIFTY

DAILY RESISTANCE FOR NIFTY: 10205, 10235,10256,10278

PIVOT POINT:10176

DAILY SUPPORT FOR NIFTY :  10154,10133,10103,10074

DAILY CHART FOR NIFTY

Sensex opened the week at 31909, made a high of 32468, low of 31783 and closed the week at 32411. Thus the Sensex closed the week with a gain of 597 points. At the same time, the Nifty opened the week at 9991, made a high of 10219 low of 9969.5 and closed the week at 10192. Thus the Nifty closed the week with a gain of 189 points. Nifty ended at an all-time high and the Sensex rallied to an over two-month high as steady inflation and strong IIP numbers propped up investor sentiment. The nifty will make new high this was predicted in our nifty weekly report last week itself. We have also predicted that uptrend is open up to 10180 levels for Nifty where its next resistance exists and exactly same happened. Domestic market on Friday ended on a cheerful note ahead of the Diwali week, with Nifty future closing at a fresh record high at 10,192, up 70 percent or 71. points.

SHORT TERM PAIN, LONG TERM GAIN.

It is only natural to expect the market to gather some fuel before restarting the new upward journey. The pause in the rally is a necessity as Sensex has gained 4800 points and Nifty 1590 points. Both the indices are in dire need of both prices as well as time Correction. Even a sharp price Correction is unlikely to breach the strong support level of Sensex 27500 and Nifty 8500. As soon as the Consolidation/Correction gets completed, one can expect the new life high levels to be tested and even be surpassed.

For the year ahead, Sensex will face Resistance at 32500-33200-34715 and Support will be at 26666-25500-24494.

For the Year ahead, Nifty will face Resistance at 10400-10650-11000 and Support will be at 8800-8500-8000.

TECHNICALLY SPEAKING.

MACD despite being in positive zone continues with its buy signal. Price ROC continues to remain positive and in buy mode. RSI (64) 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 10220.

          This week, the indices short-term average of 22dma Nifty – 9991 close above it. The indices continue to remain above the medium term average of 55dma Nifty – 9930 but above the long-term average of 200dma Nifty –9469. Thus the trend in the long term has remained bullish whereas the trend in the medium term timeframe continues to remain bullish.