Market Outlook
FRIDAY, FEBRUARY 27, 2023
Market Outlook (Closing) as on 27.01.2023
Market closed in negative territory at 59330.90 (-874.16)
BROKEN OUT OF SHORT TERM CONSOLIDATION ON DOWN SIDE: BE CATIOUS FOR SHORT TERM
LOWER END OF RANGE BROKEN AFTER SHORT TERM: TRAILTILL IT REVERSES:
MEDIUM TERM REVERSAL LEVELS TOWATCHOUT FOR:
BREAK OF MEDIUM TERM REVERSAL LEVELS WILL CONFIRM EXTENSION OF CORRECTION FROM MEDIUM TERM PERSPECTIVES
DERIVATIVE DATA INDCIATES BEARISH BETS BY FII IN SHORT TERM AHEAD OF BUDGET EVENTS:
ANY KIND OF SHORT TERM CORRECTION OR CONSOLIDATION IS A BUYING OPPORTUNITY FROM LONG TERM INVESTMENT PERSPECTIVES:
Market finally broken out short term consolidation pattern. It has broken the short term range on down side beyond expected. Its time be cautious in short term ahead of events next week. Medium term reversal on the other hand to watch out from current levels to nearest support zone. Break of it will led to extension of correction for a medium term perspectives for further deeper levels price wise & time wise both. One should follow the trend till it reverses.
Market has broken crucial short term supports & deteriorated short term chart structure. One should wait for more evidences & medium term supports for overall wave counts of the market.
Bank nifty has also broken short term consolidation structure on down side as per chart attached. It’s time to be cautious on bank nifty for short term till it reverses. Short term outlook for bank nifty remains negative till it trades below 42750 levels & expect targets in the range of 39800-39600 levels. It has strong support around 39600 levels for medium term perspectives. Break of it deteriorate medium term chart structure & we can see sharp fall towards 37500-37300 levels in short term.
17500-17000/17800-18100 is strong support & Resistance levels respectively based on option open interest data for current month series so far from expiry perspectives. Derivative data indicating bearish bets created by FII on index futures & Bank nifty futures ahead of budget events. It’s also indicating caution for short term trader or hedge long postions.
Momentum indicators Daily KST & Daily MACD both are in SELL supporting short term trend. Break of medium term reversal levels will lead to further sharp sell off towards 17100/17200 levels on nifty & 57500 levels on sensex in short term. Investor should use any kind of correction or consolidation to buy stock specific in tranches in disciplined manner from medium to long term perspectives till it reveses.
Momentum Perspective:
Weekly KST & Weekly MACD both are in SELL. Market closed above 20WESM & 40 WEMA. All the evidences are supporting with medium term trend.
Conclusion:
Short Term Trend is DOWN & Medium term Trend is UP
Trend
Market Outlook (Closing) as on 27.01.2023
Market closed in negative territory at 59330.90 (-874.16)BROKEN OUT OF SHORT TERM CONSOLIDATION ON DOWN SIDE: BE CATIOUS FOR SHORT TERM
LOWER END OF RANGE BROKEN AFTER SHORT TERM: TRAILTILL IT REVERSES:
MEDIUM TERM REVERSAL LEVELS TOWATCHOUT FOR:
BREAK OF MEDIUM TERM REVERSAL LEVELS WILL CONFIRM EXTENSION OF CORRECTION FROM MEDIUM TERM PERSPECTIVES
DERIVATIVE DATA INDCIATES BEARISH BETS BY FII IN SHORT TERM AHEAD OF BUDGET EVENTS:
ANY KIND OF SHORT TERM CORRECTION OR CONSOLIDATION IS A BUYING OPPORTUNITY FROM LONG TERM INVESTMENT PERSPECTIVES:
Market has broken crucial short term supports & deteriorated short term chart structure. One should wait for more evidences & medium term supports for overall wave counts of the market.
Bank nifty has also broken short term consolidation structure on down side as per chart attached. It’s time to be cautious on bank nifty for short term till it reverses. Short term outlook for bank nifty remains negative till it trades below 42750 levels & expect targets in the range of 39800-39600 levels. It has strong support around 39600 levels for medium term perspectives. Break of it deteriorate medium term chart structure & we can see sharp fall towards 37500-37300 levels in short term.
17500-17000/17800-18100 is strong support & Resistance levels respectively based on option open interest data for current month series so far from expiry perspectives. Derivative data indicating bearish bets created by FII on index futures & Bank nifty futures ahead of budget events. It’s also indicating caution for short term trader or hedge long postions.
Momentum indicators Daily KST & Daily MACD both are in SELL supporting short term trend. Break of medium term reversal levels will lead to further sharp sell off towards 17100/17200 levels on nifty & 57500 levels on sensex in short term. Investor should use any kind of correction or consolidation to buy stock specific in tranches in disciplined manner from medium to long term perspectives till it reveses.
Momentum Perspective:
Weekly KST & Weekly MACD both are in SELL. Market closed above 20WESM & 40 WEMA. All the evidences are supporting with medium term trend.Conclusion:
Short Term Trend is DOWN & Medium term Trend is UP
Trend
| Short Term : | Trend | Reversal |
| 59000/58500 |  | 60900 |
| Medium Term : | Trend | Reversal |
| 68000 |  | 58500 |
| Short Term : | Trend | Reversal |
| 17400/17350 | | 18100 |
| Medium Term : | Trend | Reversal |
| 20400 | | 17350 |