The Sell-off continues - Nifty ends October on a flat note
NIFTY 50 EOD ANALYSIS 29-10-21
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 17833.05
H 17915.85
L 17613.10
C 17671.65
EOD - -185.6 points / -1.04%
India VIX = 17.43 / -2.60%
SGX Nifty 29-10-21 1920h = +14 points
FII DII = -800 Crores
CHART BASED CONCLUSIONS using 5 Minutes Chart
Nifty opened with a mild gap down but then within 10 minutes fell more than 200 points and hit a low of 17613.
It then recovered 300 points in a swift and sharp move but hit an earlier resistance around 17915 and from there fell sharply and almost retested the day low.
It then shot up almost 150 points but in the last half an hour fell yet again and finally ended well below 17700.
It was a very choppy and violent moves day.
NIFTY WEIGHT LIFTERS & DRAGGERS
Top 5 Lifters contributed = 21
Top 5 Draggers contributed = 136
Net = -115
The above clearly shows the extent of bearish sentiment that prevailed in the market.
POSITIVES
Bank nifty managed to close above 39000.
Of the leading Nifty 50 pack, ICICI Bank, SBIN, Maruti, and Tata Motors remained positive along with HUL.
NEGATIVES
When the negativity is so much, there is little to write as too many things would get listed as negatives. However, the cause of concern is that many of the scrips have been dumped by the traders and investors as if it is all over for now.
The Nifty heavyweights that help the indices move up have been beaten down in the last few sessions and today was no different. Reliance, HDFC, Infosys, Kotak Bank, and HDFC Bank have all suffered.
TRADING RANGE FOR 01 November 2021
The extent of volatility and the wild swings are such that I will need to give a very wide range for the indices.
Nifty 17500-18000
Bank Nifty 38000-40000
INSIGHTS / OBSERVATIONS
The last time Nifty opened below 18000 was on 12-10-21 and then today.
The last few days witnessed wild swings in the indices. Here is my tweet which tells the story:
I felt honored today as one of the readers of this post stated that I was the mouthpiece of FIIs as my post carrying EOD analysis for 28-10 indicated doom and gloom. I hope the FIIs now realize this fact and retain me officially!
Today was the 3rd time in the week that just ended that the Bank Nifty range was more than 1300 points. This is quite an unusual thing to happen.
It appears that the retail investors/traders are now pushing the prices down in panic mode as that is how a well-planned directional price move ends or begins.
Looks like LIC of India was one of the DIIs at play as DIIs have bought 4000+ Crores.
What do you feel about this?
Here is the video link --
Thank you, and Happy Money Making!
Umesh
29-10-21
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 17833.05
H 17915.85
L 17613.10
C 17671.65
EOD - -185.6 points / -1.04%
India VIX = 17.43 / -2.60%
SGX Nifty 29-10-21 1920h = +14 points
FII DII = -800 Crores
CHART BASED CONCLUSIONS using 5 Minutes Chart
Nifty opened with a mild gap down but then within 10 minutes fell more than 200 points and hit a low of 17613.
It then recovered 300 points in a swift and sharp move but hit an earlier resistance around 17915 and from there fell sharply and almost retested the day low.
It then shot up almost 150 points but in the last half an hour fell yet again and finally ended well below 17700.
It was a very choppy and violent moves day.
NIFTY WEIGHT LIFTERS & DRAGGERS
Top 5 Lifters contributed = 21
Top 5 Draggers contributed = 136
Net = -115
The above clearly shows the extent of bearish sentiment that prevailed in the market.
POSITIVES
Bank nifty managed to close above 39000.
Of the leading Nifty 50 pack, ICICI Bank, SBIN, Maruti, and Tata Motors remained positive along with HUL.
NEGATIVES
When the negativity is so much, there is little to write as too many things would get listed as negatives. However, the cause of concern is that many of the scrips have been dumped by the traders and investors as if it is all over for now.
The Nifty heavyweights that help the indices move up have been beaten down in the last few sessions and today was no different. Reliance, HDFC, Infosys, Kotak Bank, and HDFC Bank have all suffered.
TRADING RANGE FOR 01 November 2021
The extent of volatility and the wild swings are such that I will need to give a very wide range for the indices.
Nifty 17500-18000
Bank Nifty 38000-40000
INSIGHTS / OBSERVATIONS
The last time Nifty opened below 18000 was on 12-10-21 and then today.
The last few days witnessed wild swings in the indices. Here is my tweet which tells the story:
I felt honored today as one of the readers of this post stated that I was the mouthpiece of FIIs as my post carrying EOD analysis for 28-10 indicated doom and gloom. I hope the FIIs now realize this fact and retain me officially!
Today was the 3rd time in the week that just ended that the Bank Nifty range was more than 1300 points. This is quite an unusual thing to happen.
It appears that the retail investors/traders are now pushing the prices down in panic mode as that is how a well-planned directional price move ends or begins.
Looks like LIC of India was one of the DIIs at play as DIIs have bought 4000+ Crores.
What do you feel about this?
Here is the video link --
Thank you, and Happy Money Making!
Umesh
29-10-21
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.
---
