Saturday, 23 January 2016

Weekly Outlook for 25th to 29th Jan

NIFTY

Nifty spot went down nearly 196 points over last weeks close and finally ended this week with a loss of just 15 points over last weeks close 

Last week we had mentioned that Nifty can be shorted below 7399 and Nifty fell till 7241 and completed nearly 5 targets giving nearly 160 points on the short side . Nifty finally recovered almost completely on Friday and also gave a close above the shorting level and closed at 7422 with just a loss of 15 points compared to the previous week . Nifty has formed some base near 7240 for now and as long as we close above 7336 we can head higher. Global markets have also recovered a bit along with Oil which has also shown some bounce back. This week we can expect some resistance near 7510 and 7563 and some support near 7335 & 7281 .


In the coming week Nifty spot needs to break and sustain above 7510 to confirm uptrend and then one can expect a move till 7582 initially and breaking and sustaining above 7625 will give further confirmation for the next move which can take us till 7792 . Similarly breaking and sustaining below 7335 can make Nifty test lower levels till 7262 initially and breaking and sustaining below 7220 will give further confirmation for the next move which can take us till 7053.


Nifty Spot Levels for the week are

Long above 7476 , Tgt  7510 - 7537 - 7583

IF Nifty spot manages to get a close or sustain above 7602 then ,

long again for 7625 - 7705 - 7792

Short below 7368 , Tgt 7335 - 7308 - 7262

IF Nifty spot manages to get a close or sustain below 7243 then, 

short again for 7220 - 7140 - 7053



BANK NIFTY

Bank Nifty lost nearly 450 points this week over last weeks close and finally closed this week with a gain of 290 points over last weeks close. 

Last week we had mentioned that Bank Nifty can be shorted below 15100 and Bank Nifty fell till 14755 and completed more than 4 targets giving nearly 350 points on the downside . Bank Nifty recovered completely in the last two trading sessions and gave a close above the go long level for last week. We saw Bank Nifty out performing Nifty in the last two sessions . On Monday we have HDFC Bank results too which is a heavy weight in the Banking Index and its results will have an impact on the Bank Nifty move.

In the coming week Bank Nifty spot needs to break and sustain above 15780 to confirm uptrend and then one can expect a move till 16015 initially and breaking and sustaining above 16155 will give further confirmation of the next move which can take us till 16695 . Similarly sustaining or closing below 15215 can make Bank Nifty test lower levels till 14975 initially and breaking and sustaining below 14840 will give further confirmation of the next move which can take us down till 14300.

Bank Nifty Spot Levels for the week are

Long above 15675 , Tgt 15780 - 15865 - 16015

IF Bank Nifty spot manages to get a close or sustain above 16080 then 

long again for 16155 - 16410 - 16695

Short below 15320 , Tgt 15215 - 15125 - 14980

IF Bank Nifty spot manages to get a close or sustain below 14915 then 

short again for 14840 - 14585 - 14300

We are entering the truncated expiry week for Jan Series and our expected levels are

Nifty Expiry 

Upper Level 7549 

Lower Level 7296


P.S. Always wait for the yellow highlighted levels to be crossed after taking a long/short position for confirmation of the trade . Once the highlighted levels are crossed and the next target is achieved move your Stoploss to the highlighted levels .

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Disclaimer : These are my personal views and trades taken on them should be done with a strict Stop loss .