We saw lots of volatility on Friday and finally Nifty spot settled @ 10930.
Nifty Tested 10850 lows again on Friday 28th Sept 2018.
In September series :
Nifty : -7%
Bank Nifty : -11%
Midcap index : -14%
SmallCap Index : -20%
Over 1000 stocks hits 52 week low.
Nifty 200 DMA( Day Moving Average ) is placed@ 10770.
We Hope all investors who booked profits at 11700~11750 levels & stayed light after our Article dated 30 August would be very Happy to see these panic.
Old Link 👇👇👇( book profits call)
Currently we@ wealthcreatures feel Nifty is in Last leg of correction.
Few stocks like yes Bank,ibull Real,Ibull housing finance,Jindal steel created pressure & panic in market on Friday .
The new Stock to Hammer was Infibeam.stock was down 70% from 200 It was down to 58 and made low of 53.50 on Friday.
We@ wealthcreatures feel Nifty can Re-Test 10850 support again and this time there are high chances that it can even break those support levels & can Test 200 DMA which is placed @ 10770.But From 10770 levels,we are well placed to bounce back.
As Nifty is in oversold territory.It can bounce sharply anytime.Trend would change from negative to positive only after Nifty closes above 11240 for consecutive session.
we strongly feel Nifty can test 200 DMA and than it can bounce back very sharply.But if markets fail to take 200 DMA support level than we can see more panic & can easily correct 3% to 6% more in wroste case scenario.And that can be Bottom formation for the Nifty.
The Mother of all markets Dow Jones also showing signs of Alarming.
Nifty and sensex had a dream run in last 4 years.Markets were running ahead of Fundamentals in short term.
Before making a new high it should consolidate.
We strongly believe that in this fall many good quality stocks are also hammered without any reason and where there is no change in fundamentals.
Rising crude & Weak rupee,Trumps trade war & volatile commodity can create more pressure on markets going forward.
Currently investors should stay calm & Keep Patience.
Levels to keep in Mind for Nifty .
Support – 10850
Very strong support of 200 DMA – 10770.
Resistance Levels – 11111/11200/11300
Nifty Range for Oct Series – 10600-11300.
Investors should Add quality stocks in SIP In Panic where there is :
👉Earning Growth Potential.
👉Resonable valuation vs Industry.
👉Zero Debt or Low Debt or manageable Debt
👉Good Promotors pedigree
👉No corporate or governance issues.
👉Where company has done capex or planned capex.
Disc – All views expressed are for educational and study purpose.Consult your financial advisor before investing based on above article.