Sunday, 24 April 2016

Weekly Outlook for 25th to 29th April

NIFTY

This week Nifty spot went up 128 points over last weeks close and finally ended the week with a gain of around 49 points compared to last weekly closing 

Last week we had mentioned that long positions in Nifty can be taken above 7905 and short positions can be taken below 7796 . Nifty made a high of 7978.45 and low of 7842.75 for the week. This week Nifty triggered a long call on Monday and completed 2 targets on the long side in a truncated week giving us nearly 60 points from our long trade . Last week we had mentioned that Nifty is now approaching a good resistance range of 7883 - 7938 spot and breaking and sustaining above this range is required this week for further upmove else we may see a small correction taking place from around these levels. We saw Nifty break this range thrice but could not get a close above it .

In the coming week Nifty spot needs to break and sustain above 7964 to confirm uptrend and then one can expect a move till 8032 initially and breaking and sustaining above 8050 will give further confirmation for the next move which can take us till 8173 . Similarly Nifty spot needs to break and sustain below 7835 to confirm downtrend and then one can expect a move till 7766 initially and breaking and sustaining below 7749 will give further confirmation for the next move which can take us till 7626.


Nifty Spot Levels for the week are

Long above 7939 , Tgt  7964 - 7984 - 8018

IF Nifty spot manages to get a close or sustain above 8032 then ,

long again for 8049 - 8108 - 8173

Short below 7859 , Tgt 7835 - 7815 - 7781

IF Nifty spot manages to get a close or sustain below 7766 then, 

short again for 7749 - 7690 - 7626



BANK NIFTY

This week Bank Nifty spot went up 491 points over last weeks close and finally ended the week with a gain of 425 points compared to last weekly closing  

Last week we had mentioned that long positions in Bank Nifty can be taken above 16427 and short positions can be taken below 16130 spot . Bank Nifty made a high of 16769.55 and a low of 16011.90 . This week Bank Nifty triggered a short call on Monday and completed 1 target on the short side giving just 100 points before triggering the trailing stop loss and then triggered a long call on Thursday and completed all 3 initial targets on the long side giving nearly 300 points and took resistance just below our next trigger level of 16772 . We had mentioned in our weekly outlook previously the fall we had seen post RBI policy was not because of the policy but because of the global markets . Bank Nifty for this week has good resistance in the range of 16850 - 16870 spot and breaking and sustaining above this range is required for further upmove and testing of 17050 - 17150 else we may see a small correction taking place from around these levels.


In the coming week Bank Nifty spot needs to break and sustain above 16867 to confirm uptrend and then one can expect a move till 17040 initially and breaking and sustaining above 17085 will give further confirmation of the next move which can take us till 17396 . Similarly sustaining or closing below 16540 can make Bank Nifty test lower levels till 16367 initially and breaking and sustaining below 16323 will give further confirmation of the next move which can take us down till 16011 .

Bank Nifty Spot Levels for the week are

Long above 16804 , Tgt 16867 - 16917 - 17004

IF Bank Nifty spot manages to get a close or sustain above 17040 then 

long again for 17085 - 17232 - 17396

Short below 16602 , Tgt 16540 - 16489 - 16403

IF Bank Nifty spot manages to get a close or sustain below 16367 then 

short again for 16323 - 16174 - 16011


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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