NIFTY 50 EOD ANALYSIS 26-11-21
In this post, I talk about the analysis for the day and the trading range for tomorrow. The video discusses with the help of the charts how the indices as well as leading stocks performed during the day and their likely play tomorrow.
O 17338.75
H 17355.40
L 16985.70
C 17026.45
EOD -509.80 points /-2.91%
Today, I must include India VIX which was up by a whopping 24.85% and ended at 20.80
SGX Nifty 26-11-21 @ 1900h = -24 points
FII DII = Not yet available
CHART BASED CONCLUSIONS using 5 Minutes Chart
Nifty opened with a strong gap down and made an opening high and then never made any attempt to retest it as it kept falling relentlessly.
Nifty tried to clear 17210-215 levels between 1100-1330h but failed to do so and then simply fell like a pack of cards.
Nifty briefly breached 17000 levels and Bank Nifty also briefly breached 36000 levels.
Both the indices have for now changed the trend completely as they have fallen significantly from their respective ATHs and we will have to see how the next few days play out.
NIFTY WEIGHT LIFTERS & DRAGGERS
Top 5 Lifters contributed = 20
Top 5 Draggers contributed = 201
Net = -181
POSITIVES
Nifty ended above 17000 and Bank Nifty ended above 36000 and these were the only consolidations for the day.
Pharma shot up, possibly sensing emerging opportunities as the world renewed its focus on the virus variant.
NEGATIVES
In the last 2 months , Nifty has not fallen so much like what it did today.
However, Bank Nifty made such moves earlier in this 2 month period.
The sentiment was negative all over and there was no respite from it.
The Advances were only 1/4th than that of the declines which indicates the severity of the sentiment.
TRADING RANGE FOR THE WEEK BEGINNING 29 NOV 21
Today’s price action was such that I will respect the same and not venture into stating the Supports and Resistances for the 2 major indices.
We will have to wait for the India VIX to cool down significantly before the levels could be stated with conviction.
Let us see how the price action is for the next 2-3 days and then maybe we will get some idea to draw these lines.
INSIGHTS / OBSERVATIONS
I thought looking at today’s price action, the heading is apt. I am not sure how long the Covid related fear would be around. Even though India is better placed than Europe for now, our markets are still not strong enough to move the world on its own and hence, depend on the global cues.
I started tracking EOD Analysis for the last 3 months and I am unable to find levels below 17000 for Nifty and below 36000 for Bank Nifty in this period. So much was the strength and it has almost been extinguished for now.
The downfall was severe in scrips that were hammered during the lockdown and Covid era, This was possibly more on account of fear than reality as the Indian Govt is yet to announce any caution in this regard.
It is a strange coincidence that today the Govt has decided to recommence scheduled international air travel from 14 Dec 21 - a day when the market feared the most taking cues from the global counterparts.
When FIIs sell, DIIs usually start buying in the post lunch session. Today, there was no such evidence indicating that even the DIIs are also unsure about what could be the extent of the fall. So the buying may have come from the retail to a large extent.
Social media is abuzz about the Black Friday sale on the stock market. They are simply using the term. The fact is that it is a Red Friday as the indices have fallen sharply and there was a bloodbath in the real sense of the word.
Will 26 Nov 21 be the game changer day for the Indian markets?
What do you feel about this?
Here is the video link --
Thank you, and Happy Money Making!
Umesh
26-11--21
NOTE --
This write-up is not a prediction mechanism for the movement of Indices in the Indian markets as the markets are unpredictable in nature. I may refer to many data points in the article but I do not base my view on any of these standalone. In fact, I prefer to react to the price moves than predict the price moves. I also do not review Open Interest. Whatever data points I am using, are all stated in the article. The article title, as well as its contents, can at best be stated as --- This Is How I Read Nifty. I hope I have been able to set the expectations right.
---
In this post, I talk about the analysis for the day and the trading range for tomorrow. The video discusses with the help of the charts how the indices as well as leading stocks performed during the day and their likely play tomorrow.
O 17338.75
H 17355.40
L 16985.70
C 17026.45
EOD -509.80 points /-2.91%
Today, I must include India VIX which was up by a whopping 24.85% and ended at 20.80
SGX Nifty 26-11-21 @ 1900h = -24 points
FII DII = Not yet available
CHART BASED CONCLUSIONS using 5 Minutes Chart
Nifty opened with a strong gap down and made an opening high and then never made any attempt to retest it as it kept falling relentlessly.
Nifty tried to clear 17210-215 levels between 1100-1330h but failed to do so and then simply fell like a pack of cards.
Nifty briefly breached 17000 levels and Bank Nifty also briefly breached 36000 levels.
Both the indices have for now changed the trend completely as they have fallen significantly from their respective ATHs and we will have to see how the next few days play out.
NIFTY WEIGHT LIFTERS & DRAGGERS
Top 5 Lifters contributed = 20
Top 5 Draggers contributed = 201
Net = -181
POSITIVES
Nifty ended above 17000 and Bank Nifty ended above 36000 and these were the only consolidations for the day.
Pharma shot up, possibly sensing emerging opportunities as the world renewed its focus on the virus variant.
NEGATIVES
In the last 2 months , Nifty has not fallen so much like what it did today.
However, Bank Nifty made such moves earlier in this 2 month period.
The sentiment was negative all over and there was no respite from it.
The Advances were only 1/4th than that of the declines which indicates the severity of the sentiment.
TRADING RANGE FOR THE WEEK BEGINNING 29 NOV 21
Today’s price action was such that I will respect the same and not venture into stating the Supports and Resistances for the 2 major indices.
We will have to wait for the India VIX to cool down significantly before the levels could be stated with conviction.
Let us see how the price action is for the next 2-3 days and then maybe we will get some idea to draw these lines.
INSIGHTS / OBSERVATIONS
I thought looking at today’s price action, the heading is apt. I am not sure how long the Covid related fear would be around. Even though India is better placed than Europe for now, our markets are still not strong enough to move the world on its own and hence, depend on the global cues.
I started tracking EOD Analysis for the last 3 months and I am unable to find levels below 17000 for Nifty and below 36000 for Bank Nifty in this period. So much was the strength and it has almost been extinguished for now.
The downfall was severe in scrips that were hammered during the lockdown and Covid era, This was possibly more on account of fear than reality as the Indian Govt is yet to announce any caution in this regard.
It is a strange coincidence that today the Govt has decided to recommence scheduled international air travel from 14 Dec 21 - a day when the market feared the most taking cues from the global counterparts.
When FIIs sell, DIIs usually start buying in the post lunch session. Today, there was no such evidence indicating that even the DIIs are also unsure about what could be the extent of the fall. So the buying may have come from the retail to a large extent.
Social media is abuzz about the Black Friday sale on the stock market. They are simply using the term. The fact is that it is a Red Friday as the indices have fallen sharply and there was a bloodbath in the real sense of the word.
Will 26 Nov 21 be the game changer day for the Indian markets?
What do you feel about this?
Here is the video link --
Thank you, and Happy Money Making!
Umesh
26-11--21
NOTE --
This write-up is not a prediction mechanism for the movement of Indices in the Indian markets as the markets are unpredictable in nature. I may refer to many data points in the article but I do not base my view on any of these standalone. In fact, I prefer to react to the price moves than predict the price moves. I also do not review Open Interest. Whatever data points I am using, are all stated in the article. The article title, as well as its contents, can at best be stated as --- This Is How I Read Nifty. I hope I have been able to set the expectations right.
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