SENSEX: 36472.93 -587.44

NIFTY: 10741.35 -177.35

Market Outlook

Ventura Securities,

12.00 AM Aug 5th

Support comes in at the 10979, 10878, 10783 while resistance comes in at 11078, 11143, 11235, 11340, 11495.

The Nifty has flattered to deceive, has been on a downhill journey and while the underlying trend remains unequivocally negative, even a dead cat bounce has been found wanting. Once again an oversold situation on the intraday charts seems to point towards an unsustainable recovery but it remains to seen whether the 10878 level provides the requisite support or not. Maximum call open interest comes in at 11500 followed by 11000 while maximum put open interest comes in at 11000 followed by 10800 indicating a rather negative trading range (not very surprising as this is now the second week of the current series) compared to the last week but the situation remains fluid with movements expected on either side. Nifty has seen some notable addition in open interest during the week to end at 1.92 cr (rounded off) and has seen adding of nearly 00.74% (rounded off) on the last trading session of the week; the Bank Nifty open interest has seen some notable open interest being added (it stands at 17.24 lakh - rounded off) compared to the last week; has seen some nominal increase in open interest (02.79%) on the last trading session of the week. The Vix has spent almost the entire week in a rangebound movement (with a clear positive bias) above the 13.00 level (in terms of closing) except that it ended at 15.19 (higher from an intra week low of 12.04) which has resulted in a weak market. The Nifty could finally give an unsustainable recovery and the view still remains sell on bounce but a few individual stocks look like going either way making it a slightly skewed market. A double sided movement can be expected while only an adroit trader would be able to trade in such a market, a cautious approach is advocated. Support comes in at the 10979, 10878, 10783 while resistance comes in at 11078, 11143, 11235, 11340, 11495.

Market Action


S&P BSE Auto15489.74-252.48
S&P BSE BANKEX30538.22-788.00
NIFTY BANK27034.20-684.85
S&P BSE Capital Goods16477.75-173.31
S&P BSE Consumer Durables22603.41-24.09
S&P BSE FMCG10796.48-12.81
S&P BSE Healthcare12347.70-59.85
S&P BSE IT15820.8047.81
S&P BSE Metals8200.10-296.11
S&P BSE Oil and Gas12401.86-335.29
S&P BSE PSU6068.34-186.75
S&P BSE TECk7693.260.32
S&P BSE Smallcap12119.43-270.89
S&P BSE Midcap13080.60-178.88
Nifty MID100 Free15174.70-307.20



How are the markets looking?

Hemen Kapadia, Technical Analyst

Day - 27th Aug. 2019
Time - 13.00hrs

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