For the weekend  30th Oct'20-Friday... Updated on  25.10.20, Sunday-06.01 pm

Last week Nifty trend: Nifty Index as expected and written last week, opened with positive note at 11879.20, beyond our expected opening band i.e, 11795-11820, it made a low 11820.40 on the opening day, thereafter the Index moved and made a weekly high at 12018.65, unable to sustain above 12k mark then, the weakness dragged the Index till 11775.75, once again the Index moved up till 11975 and closed at 11930.35 with a weekly gain by 167.90 points i.e., 1.43%. 

This week Nifty Trend: The Nifty index may open on Monday i.e., 26th Oct'20, on positive bias, subject to the Asian market move, to test 11975-12025, if open and sustain above 12025 then, the Index may try to test 12075-12125-12150-12195-12250-12290 levels. On the other hand, the immediate support lies at 11945-11880 any further weakness below 11880 then, the Index may test 11820-11775-11745-11705-11660-11620-11555-11480-11405 levels.

Key Events: This week, no major key events are expected on the Global front and domestic front too, the F&O expiry and month end falls this week, further the Q2 (Jul-Sep'20) India Inc. quarterly results for the remaining corporate companies are awaited, so, far, on the total of 4248 companies, 61 companies were declared their Q2 results, they made a net profit 37.50% when compared with the Q1 net profit on QoQ basis and YoY basis the net profit at 18.60%, compared with the same period last year i.e., Sep'19, though the numbers shows some good momentum picks up, but it is very early to comment and conclude any view on the performance, we should wait and watch the remaining corporate companies results. The price valuation i.e,, Price Earnings ratio-PE, till last week roaming around 34.27 to 34.40 and settled in 34.37 times as of Friday. 

Special Mention: Last week, I anticipated and wirtten, that the Nifty Index may re-visit till 12k mark once again, as expected the Index tested 12k mark, but unable to sustain and close above this threshold levels, the high volaility ruled hence, the Index traded on broad range consolidation between 11800-12000 levels. Now, we should watch 12k mark, this week to surpass, sustain and close above 12025 for three consecutive trading sessions cum weekly basis, then the Index may move northwards to test 12085-12150-12246-12290 levels, this may happen this week itself, if fails it may test this levels by first or second week of  November.  At the same time any weakness below 11820-11660 levels, may drag the Index till 11620-11550-11300 levels in the near term. Let see, how it opens on Monday, whether it surpass 12k mark or not.

Sector wise performance: Last week, almost all the major sectoral Indices were traded on the positive bias and closed in green except Nifty Pharma & Nifty IT: The Nifty Realty lead the weekly gain by 9.30% followed by, Nifty Metal gained 4.86%, Nifty Bank gained 4.01%, Nifty Energy & Nifty Auto gained 1.70% each, finally the Nifty FMCG marginally gained by 0.67%. At the same time the Nifty Pharma closed with a weekly loss by -2.63% and Nifty IT marginally lost by -0.07%. Nifty mid cap index closed with a weekly gain i.e, 3.09% & Nifty small cap index closed with positive note by 2.65%.

Institutional Investors trading data: The Foreign Institutional Investors-FII's last week continued as a net buyer in the Equity segment, they bought to the tune of Rs.7375.72 crores on the net basis whereas, the Domestic Institutional Investors-DII's, continued as a net seller, they sold all the days during last week, to the tune of Rs.7800.22 crores on the net basis, as per the data forwarded to the SEBI, the FIIs continued the inflow in to the Indian equity market, it looks they may continue the inflow for some more time, we should wait and watch, how they behave coming week.

USD Vs INR: The USD Vs INR appreciated from the weekly low level i.e.,$73.29 and moved up till $73.87, closed on Friday at $73.87, last week I have written that, the USD vs INR will test $73.71-73.83, as expected it moved and tested 73.83, now further appreciation is depends on breaking above $73.87-74.03 on the higher side, any further up move above $74.03 then, it may test $74.32-74.46 levels. On the other hand, the support lies at $73.70-73.52, below this level, it may try to test $73.43-73.36-73.30-73.14.

Tading Strategy: The Investor/trader, those who invested during recent sell-off when the Nifty inded traded at 11660 continue to book profit, if the Nifty index not moves above 12025-12075 levels and start to re-invest i.e, adopt Buy on dips strategy, if Nifty Index test 11600-11300 levels, to trade for short term gains, rather to wait for the long term basis.

Further details please do call us on 98410 48022 or contact thro' whatsapp: 99624 70636. Please read carefully, the Disclaimer published on the Disclaimer page.

Wishing you for a safe and secured with profitable trading.