EquityCompound2

29th OCT' 2021 (Evening)  --  | Written on 31st Oct' 2021 at 7.30 PM | Thrilling two days on our markets. Nifty lost 539 points from Wed close and Bank Nifty lost 1759 points from Wed close. Nifty and Bank Nifty Losing 4.7% and 6.5% respectively from their recent highs. A look at the table below will be interesting :                                   Monday     Tuesday     Wednesday     Thursday     Friday Nifty High               18241     18310          18342               18190          17915 Nifty Low                  17968     18099          18167               17800  ...

27th Oct' 2021 (Evening)  --  | Written at 11.00 PM | Opening to mixed global cues, Markets reacted sluggishly and lost some ground today. While I do not see this as a concern in general, it would be important to look at  this in conjunction with the F&O stats for today. Nifty  Nifty opened slightly in green and consolidated for some time with some minor gains, but in the last hour and a half, it lost ground and slipped by 120 points plus to close at 18210 (slightly above the first support i mentioned yesterday). Support First support at 18150 Second support at 18050 Resistance  First resistance at 18260 Second resistance at 18325 Nifty futures had a short buildup today and the buildup was around 18325 levels. If the index rises above this level, it may trigger some short covering. Tomorrow being the monthly closing, be careful. Bank Nifty Bank Nifty opened flat and double tested the day top of 41347 twice before correcting to 40750 (its second support menti...

26th Oct' 2021 (Evening) -- | Written at 05.00 AM on 27th Oct | After a stellar run yesterday, Bank Nifty took a breather and shared the run way with Nifty. Driven by some short covering today, Nifty closed 143 points higher, While Bank Nifty closed mildly in green. Nifty Nifty made a bullish candle on the daily chart with small upper and lower shadows. Indicates some support buildup after yesterdays candle.  Support  First support at 18200  Second support at 18100 Resistance First resistance at 18310 Second resistance at 18375 Nifty has to close above  its first resistance at 18300 to build further on it and start moving towards 18400-18500 levels again, while a slip below 18100 could again lead it to 17900 levels. Bank Nifty Support First support at 41100 Second support at 40800 Resistance  First resistance at 41400 Second resistance at 41750 Bank Nifty is consolidating inside the yesterday bullish candle. Look for a breakout from this candle for a quantum mov...

21st Oct' 2021 (Evening)  -- | Written on 22nd Oct at 5.00 AM  | Indian markets opened gap up but failed to sustain and slipped through the day. Bank Nifty was in general stronger than Nifty and made a strong recovery to close at the day high making strong gains. Nifty on the other hand was could only recover half the points lost. Nifty  Nifty opened gap up and started losing. The selling was seen throughout the day with a swift 130 point recovery in the last hour. I had mentioned this level on Tuesday closing, that below 18260, 18050 would be seen. Nifty made a bearish candle with a slightly longer lower wick, showing some support @ day low. Support First support at 18050. Second support at 17875 Resistance First resistance at 18300 Second resistance at 18375 Nifty seems to be a bit weak, thigh the buying from domestic institutions seem to be supporting at 18050 levels. As mentioned in my previous notes, new range of 18050 to 18600 may confirm today for the index to cons...

19th Oct' 2021 (Evening)  -- | Written at 11.00 PM | As mentioned yesterday, Indices consolidated and are probably in the process of making a new trading range. Markets opened gap up and within an hour was sold off, On Nifty for 200 points and on BankNifty for 650 points. Nifty and BankNifty picked up support From 18400 and 39400 respectively to reattempt the days high, but failed again and settled to close to days low. Both Nifty and Bank Nifty made bearish engulfing candle on the daily chart, and since intraday the day high was tested twice, The highs would now tend to be strong hurdles at least in short term. Though the lows were supported, they need to be respected in the upcoming trading sessions, if the indices have to prevent further slipping. Nifty Support First support at 18375 Second support at 18260 Resistance  First resistance at 18525 Second resistance at 18600 If 18260 is not respected, Nifty may tend to correct deeper and we may see 18050 levels again. As of now...

18th Oct' 2021 (Evening)  --  | Written on 19th Oct' 2021 at 5.45 AM | Both Nifty and Bank Nifty made new highs today with Nifty opening at an all time high of 18500 and making an intraday high of 18543 and Bank Nifty opening at 39794 and making an intraday high of 39947. However the opening levels could not sustain and profit booking was seen on both the indices. Though this selling was not heavy and the indices could sustain the gap up, pressure was seen towards the upper range of the markets today. Nifty Nifty made a small bearish candle on the daily chart with a narrow trading range. Intraday the chart made an attempt to breach the high twice and made a double top, but failed to breach. So as mentioned yesterday, a new range is developing now.  In extreme short term Nifty has to hold its low of 18445 to make a fresh attempt to take off 18500 convincingly, else a slight slip towards 18350 is possible. Support First support at 18450 Second support at 18350 Resistance...

14th Oct' 2021 (Evening) -- | Written on 17th Oct' 2021 at 9.00 PM  | The momentum in our markets on Thursday was phenomenal. It has been surprising me from the last two days.  While the data is definitely bullish from FII side, the real reason is the enthusiasm of retail participants on the domestic front. FII bought for 1681Cr on Thursday, but their buying was negated by a strong selling of 1750Cr from the DII side. We still saw an extremely strong market. FII covered their shorts and created fresh longs. In this series they have unwound approx 25000 Index future shorts and created 4000 plus index future longs. As mentioned in my notes on Wed, out of the three reasons, the first reason probably is playing true and the second reason (refer my notes on Wed) has given them the reason to cover. DII as of now are not supporting the high valuations. With the earning season already started and some of the Important results in the IT and Banking space out, lets see the DII position ...

13th Oct' 2021 (Evening)  -- | Written at 11.15 PM  | Yesterday, I mentioned to be cautious. The markets today surprisingly made a strong move. This kind of move on a penultimate expiry day is indicative of maybe a surprise tomorrow on the expiry. In one day, the FII turned bullish from being bearish yesterday. Today the FII bough in cash for a good 937Cr and also created longs on the index, wrote puts and bought calls. A complete reverse stance from yesterday. While Nifty was more secular and was supported by almost all sectors today, especially got support from Auto, Metals and Reliance. Bank Nifty on the other side was capped at 38800, the level i mentioned yesterday. Now this could be attributed to multiple reasons. First is an easing of Dollar Index and Yields in US. The second could be the strong momentum in our markets pulled them back (Remember FII are momentum players) or third (may be skeptical) could be to kill the late entrants, writing puts for expiry tomorrow....

12th Oct' 2021 (Evening)  -- | Written at 11.00 PM | Following a weak set of global cues, both Nifty and Bank Nifty opened lower today, consolidated for a good time and then made a sharp recovery to close at the high end of the day's range.  The closing of Nifty close to 18000 and Bank Nifty above 38500 is a good indication of momentum and is a sign of possible expansion of the market further. Nifty Nifty opened 30 point lower and gradually declined by 50 points before making a sharp recovery of 130 points and closing at 17991. Nifty made a strong bullish candle on the daily chart and indicates strength. Support First support at 17960 Second support at 17890 Resistance First resistance at 18040 Second resistance at 18150 Bank Nifty Bank Nifty opened slightly lower, consolidated for some time and then picked up strength again to close above its yesterday's high of 18495. Indicates strength It made a strong bullish candle on the daily chart. Support  First support at 38200 ...

11th Oct' 2021 (Evening)  --  |  Written at 11.00 PM  | The markets opened flat to negative today, with Nifty opening lower and Bank Nifty slightly higher. However, what a day it turned out to be. Nifty breached 18000 intraday and Bank Nifty hit a new all time high. Both the topics I was discussing in yesterday's turned to be true today. Nifty breached 18000 and Bank Nifty made a new all time high. Nifty Nifty opened slightly negative, but quickly started consolidating and made a move upwards. Making a new high it closed slightly lower. It made a bullish candle with a slightly longer upper shadow on the daily chart. Support First support at 17900 Second support at 17840 Resistance First resistance at 18040 Second resistance at 18150 Nifty did breakout today from 17950, the level I mentioned yesterday. The key is now to see if it sustains tomorrow. Bank Nifty Bank Nifty proved to be the index of the day today. Opened flat but then made a fantastic gain of 700 points a...

10th Oct' 2021 (Evening)  --  | Written on 10th Oct' 2021 at 8.00 PM  | The indices opened gap up on Friday. While Nifty consolidated at those levels and traded in a range, Bank Nifty on the other side, raised but then gave up the gains and could not recover from the lows. While both indices closed higher than the previous day, Nifty made a bullish candle and Bank Nifty made a bearish candle on the daily chart. Nifty Nifty made a bullish candle with reasonable upper and lower shadows, indicating consolidation and range bound action on Friday. Support  First support at 17840 Second support at 17765 Resistance  First resistance at 17950 Second resistance at 18150 Nifty is strong and with the festive season ahead, coupled with a strong Q2 delivered by many companies, there is a possibility of a breakout above 17950 and a close above this level could open gates towards 18200. As of now a strong base at 17460 stands and a range of 17460-17950 stands for Nifty. Bank N...

7th Oct' 2021 (Evening)  --  | Written at 11.00 PM  | Markets opened strong on an expiry day today. Both Nifty and Bank Nifty opened gap up, though after opening they remained range bound.  The strong global cues helped keep the market elevated through the day.  Nifty Nifty opened 160 points up and traded in a range of 95 points. After making a move of 40 points, Nifty closed slightly lower.\ Nifty made a small bearish candle on the daily chart with a long upper and lower shadow, reflecting some uncertainty. Support First support at 17760 Second support at 17640 Resistance  First resistance at 17860 Second resistance at 17950 Nifty seems to have picked up strong momentum today with Auto, Realty and IT stocks making some very strong moves. The range of Nifty seems to be in the 17500-17950. Bank Nifty Support  First support at 37650 Second support at 37380 Resistance First resistance at 37925 Second resistance at 38150 On Bank Nifty one has to be extreme...

5th Oct' 2021 (Evening)  -- |  Written at 11.00 PM  | Markets opened marginally lower today and then consolidated to shoot up later and close high and strong.  Nifty  Nifty opened 30 points lower, consolidated for an hour, and then got support to shoot and close at day high. Nifty created a strong bullish candle on the daily chart. After the momentum picked on Friday and Saturday, this momentum is expected to continue. Support First support at 17750 Second support at 17675 Resistance  First resistance at 17880 Second resistance at 17950 Nifty is back in a strong zone now. It has to now maintain above 17750 to keep building the momentum towards 18000 again. The next level are mentioned above. Bank Nifty Bank Nifty consolidated a bit longer today and took off more towards the later half, but closed strong Bank Nifty also made a strong bullish candle on the daily chart and after two days of bullish candles, indicates some momentum ahead. Support First support ...

4th Oct' 2021 (Evening)  -- | Written at 11.00 PM  | As expected, markets opened gap up today and continued to consolidate for the day. Both the indices were capped on the up side, however, continued holding and showed strong resilience. Nifty As mentioned yesterday,  the first resistance for Nifty was taken off in the opening itself. After opening around 80 point up, Nifty kept on consolidating and closed around 160 points up. Nifty made a bullish candle on the daily chart with a long lower shadow, indicating buying coming in at lower levels. Support  First support at 17650 Second support at 17585 Resistance  First resistance at 17780 Second resistance at 17850 Though the second resistance mentioned yesterday was breached today, As mentioned yesterday, Nifty respected the upper limit mentioned yesterday of 17750. The trading range of nifty remains same, ie 17450-17780 till it is breached on either side.  Bank Nifty Bank Nifty opened gap up as well and cont...

01st Oct' 2021 (Evening)  -- | Written on 3rd Oct' 2021 at 11.30 PM  | Drive by the anxiety from US, the markets opened negative  on Friday and continued to trade in a range. Inflation, Debt ceiling, Bond yields, Fuel and Dollar index were hot discussions on Friday, that kept investors on the edge, ahead of the week end. Energy prices continue to unnerve globally and it is expected that it would continue to do so for some time. Now, this is could be not so good news for India. The oil prices are expected to touch 90$ a barrel by the end of this year. On our markets though we have seen that the FII were selling for some time and they returned with some buying (though small) after some time and they also created some longs in the FnO side. This may be a good sign. Added to it the stability in the US and the indices out there picked up support with Dow closing 1.5% up and S&P and Nasdaq adding close to 1%. The sentiment is expected to be positive tomorrow morning.  ...