Thursday, June 1, 2017

MARKET OUTLOOK FOR THURSDAY, JUNE 01, 2017

MARKET OUTLOOK FOR THURSDAY, JUNE 01, 2017
Indian Equity Markets continued to scale fresh but ended the day with minor loss of 3.30 points or 0.03% as the benchmark NIFTY50 continued to fiercely consolidate. In all likelihood, the NIFTY has marked a temporary top a 9649 levels as the signs of tiredness and fatigue are clearly evident. A quiet opening is expected on Thursday. Though the NIFTY has continued to pile up open interest, some minor corrective action now seems imminent and overdue.

The levels of 9650 and 9680 will act as resistance while supports come in at 9570 and 9540 zones.

The Relative Strength Index – RSI on the Daily Charts stands at 69.4968 and it remains neutral showing no divergences against the price. The Daily MACD stays bullish while trading above its signal line. No significant formation was observed on Candles.

The pattern analysis shows the NIFTY hanging on above the rising trend line that it attempted to break on the upside. In event of any minor consolidation, this level is likely to act as minor support.

All and all, there are chances that we witness some minor corrective activity in the Markets. The underlying current remains strong and there is no second opinion on it. However, in order to get these up move healthy and sustainable, some minor corrective action seems imminent and long overdue. We recommend using all upsides from here to protect profits as all such up moves will remain vulnerable to profit taking bouts.

Milan Vaishnav, CMT 

Technical Analyst 
(Research Analyst, SEBI Reg. No. INH000003341)

Member

Market Technicians Association, (MTA), USA
Canadian Society of Technical Analysts, (CSTA), CANADA




+91-98250-16331 

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