Daily Market Trend Guide Wednesday,
01 April 2015
MARKET REPORT March 31 2015
The
Technical Analysis given above read along with the analysis of Derivatives data
advises utmost caution at the higher levels . It is strongly advised against
getting carried away with the rise as it is expected to counter technical
resistance as given above and also the fact that the rally is more due to short
covering than pure buying. – Daily
Market Trend Guide March 31 2015
On the last trading day of the Financial year, the markets
opened on a firm note as expected. The
strength in the markets continued for most part of the trading session
and the market traded in a positive trajectory post noon. Just few points above its 100 DMA, the market
faced sudden and stiff resistance and registered sharp decline, never to
recover til close. The Nifty closed the day at 8491 almost at the previous
closing , and Sensex registered a marginal decline of 10 points at 27957.
As expected, the markets faced stiff resistance around its 100 Day Moving Average of 8533 as of
yesterday. Against this foretold resistance , the market gave intraday high of
8550 and thereafter it registered sharp decline as a result of sudden
offloading of position. As expected, shortened week also added to the sharpness
of intraday decline.
However, on year on year basis, the Markets have performed
splendidly . During FY 2014-15, Sensex has gone up by 5,571.22 points, or 24.88
% Nifty
Nifty zoomed by 1,786.80 points, or 26.65 per cent. The Markets registered best ever performance since
2009-10 by registering gains of 25 %
TECHNICAL ANALYSIS OF NIFTY AND MARKET TREND FORECAST FOR WEDNESDAY APRIL 01, 2015
All is well that ends well ! The financial year ended with very good
performance of markets on year to year basis.
Lets see what is in store for markets today- on the first trading day of
the new financial year .
Technical Analysis of Daily High Low chart of Nifty reveals
that the markets did try to get into the
trading range beginning
from 8513 levels, but its efforts was short lived
as it faces very severe expected
resistance from its 100 Day Simple
Moving Average. Pattern analysis
indicated that the markets are still not
entered into safe trading range, as both its intraday low and close are below
the lower level of this trading range.
This leaves a technical possibility of weakness developing in the
markets if it fails to move and remain above 8513.
Since markets closed lower than its open levels, a Black
Body has occurred on the
Candlestick charts. MACD
still continues to trade below its signal line which it has crossed sixteen trading session
ago, which implies weakness. However, since last two trading days, the MACD and
taken an upward turn which indicates
possibility of MACD getting above its signal line and generating a buy signal
in coming days. But as of now it is in bearish zone. Analysis of 10 day RSI which is at 41.7005 as
of today gives no significant technical
indication. For today and start of the
next week, the Pattern Analysis and
moving averages will play important role in deciding the immediate trend of the
market.
On derivatives front,
Nifty and a few gainer stocks
continue to shed open interest with decline in the markets, indicating
reduction of position ahead of long weekend.
Today markets are
poised for a flat to slightly weak opening. At open and during the day, watch the all important Lower Trend Line of Patterns
with level 8513 and the 100 DMA of Nifty
which is 8564.89 as of today.
Utmost caution and alertness is advised at higher levels for today.
Wishing you a very successful New Financial Year ahead !
Milan Vaishnav,
Consulting Technical Analyst,
Af. Member: Market Technicians Association (MTA), USA
Af. Member: Association of Technical Market Analysts, INDIA
www.MyMoneyPlant.co.in
Af. Member: Market Technicians Association (MTA), USA
Af. Member: Association of Technical Market Analysts, INDIA
www.MyMoneyPlant.co.in
+91-98250-16331
No comments:
Post a Comment
Note: Only a member of this blog may post a comment.