NIFTY WEEKLY OUTLOOK & MAY EXPIRY TRADING TIPS 3 JUN TO 7 JUN 19

WEEKLY RESISTANCE FOR NIFTY: 12050, 12150, 12250

 PIVOT POINT: 11900

WEEKLY SUPPORT FOR NIFTY:  11800, 11700, 11600

WEEKLY CHART FOR NIFTY

DAILY RESISTANCE FOR NIFTY: 12000,12050,12100

PIVOT POINT:11900

DAILY SUPPORT FOR NIFTY :  11850,11800,11750

DAILY CHART FOR NIFTY

The market closed the volatile day as well as week on the negative side after cabinet announcement under Modi 2.0. At close, the Sensex was down 117 points at 39714, while Nifty was down 23 points at 11922. Post the election week, our markets opened slightly higher despite Nifty indicating a sluggish start. Our markets decoupled from the global peers last Monday; but it was evident also considering the major event on the domestic front. But it seems that the rub off effect is still there and yesterday too, we did not even try to peep what other global markets are doing. We had a trended move throughout the day with less momentum to add another seven tenths of a percent to the bulls’ kitty. After last week’s wild swings, the volatility was likely to subside and considering the overall development on Friday, we were expected to have a steady up move on Monday. Markets did not disappoint and Monday’s intraday move was very much on expected lines. We continued our march towards the mount 12k which needs to be conquered on a sustainable basis. Tuesday, there were no major triggers on the global as well domestic front and hence, we had a flat to positive start tad above the 11950 mark. However it turned out to be a formality as we saw open-high kind of scenario to immediately pull the market lower. During the most part of the day, index remained under a bit of pressure and hence the Nifty spent most of its time below 11900. Fortunately, due to some late recovery, the nifty finally managed to reclaim this psychological mark by concluding with a negligible gain. Wednesday, we opened lower as indicated by the SGX Nifty which was followed by some consolidation throughout the first half. However, in the latter half, the selling intensified across the globe and in this course of action; we slipped below the 11900 mark on a closing basis. Thursday, the global set up early in the morning was not so encouraging; but despite this our markets kicked off the day on a flat note and right from the word go, the buying emerged at lower levels. This was followed by a good trended up move throughout the remaining part to reclaim the 11900 mark. In fact, it didn’t look like a derivative expiry day as there were no wild swings or major volatility seen. Eventually, the Nifty ended tad below 11950 to register highest ever close for our index Nifty.

NIFTY: A STRONG SUPPORT WILL BE @ 11800; STRONG RESISTANCE LEVEL SEEN @12000

Clearly the low hanging fruit is gone in our market and the kind of broad based rally we saw in the midst of an eventful period, it’s quite remarkable. Now, those who missed this bus are jumping in and that’s clearly causing this choppy lethargic moves. However having said that, directionally we still remain upbeat and expect the Nifty to test and even surpass 12200 sooner or later. For the coming session, 11830 followed by 11750 would be seen as key sports; whereas on the higher side, 11950 and 12050 are the levels to watch out for. As far as levels are concerned, 12000 – 12041 would be seen as immediate hurdles whereas on the lower side, 11859 – 11812 are likely to provide support on an intraday basis.

TECHNICALLY SPEAKING.

Today was a typical day when the trend becomes obvious and everyone tries to jump into the market. As we all know, market has a tendency to give sharp moves when its least expected and becomes lethargic when the trade becomes common. Today’s price action precisely depicts this market characteristic. Now since we are in june series, the psychological figures are going to play a vital role and here, 12000 becomes the center of attraction. In our sense, we are going to challenge this in next couple of days and somehow writers are going to get intimidated. We expect this northward trajectory to continue and soon we would expect index surpassing this level to eventually march towards the next junction of 12200. For the coming session, 12100 – 12150 are the levels to watch out for and on the downside, 11850 followed by 11750 are likely to provide decent supports.