First Watch Next Resistances after Indian markets Complete Under Performance
Intra Day Chart Analysis & Market Outlook
(21-06-2016)
Nifty-Intra Day Chart (20-Jun-2016):- |
| Just click on chart for its enlarged view |
1- Sharp up immediately after gap down opening
2- Last 5 hours slow up moves
3- Whole day actual trading between 8108-8244
Conclusions from intra day chart analysis
As SGX Nifty was trading more than 60 points down today morning therefore news channels were telling it is due to RBI Governor Raghuram Rajan exit but we told following lines today at 08:50 AM in "Firstly Watch Next Strong Supports after Such Weak SGX Nifty today":-
1- As per our view it should not be the reason of such deeper down SGX Nifty because in real sense Mr Raghuram Rajan was creating hurdles through not cutting Repo Rates and each time gave baseless reasons for it.
2- As Indian markets completely under performed Global markets and some selling patterns were also seen last Friday therefore some weakness can not be ruled out but strong supports are lying between 8064-8091 and firstly sustaining it beyond should be watched today for the confirmation of next trend.
When markets moves up then same news channels were telling in the afternoon today that market has ignored Raghuram Rajan exit and moved up. We told only for some weakness and that was seen also immediately after opening,we also updated strong supports between 8064-8091 and Nifty could not slip below it as well as moved up after today lowest formation at 8107.35.
Following resistances of Nifty were updated on 16-06-2016 in "Finally Crucial Levels will decide Next Trend amid Brexit led Uncertainty":-
1- 8242-8255
2- 8260-8315
3- 8470-8520
4- 8575-8652
Nifty faced resistance in 1st resistance range today and closed at 8238.50 after today intraday highest formation at 8244.15.
Although Nifty closed 0.84% positive today but completely under performed all the Global markets because most Asian markets closed more than 1.40% up and all the European markets opened and traded more than 2.5% up as well as Dow's Futures was trading more than 200 points positive. As such high under performance by Indian markets today therefore good selling on the back of such strong Global cues can not be ruled out today.
As now Brexit Polls showing swing to 'Remain' therefore all the Global markets may remain strong in the coming sessions also like today but until Nifty will not sustain above 2nd resistance range(8315) after complete consolidation till then fresh rally will not be considered because absolute under performance by Indian markets today and good selling on the back of such strong Global cues can not be ruled out.