Nifty 50 Intraday Trade Setup for 10th July 2020
Good Morning friends,
Hope you guys are doing great and making some money from the stock market. In July month we had seen a choppy start and an infection market. The index is testing 10,840 levels multiple times this week but failed to sustain above on it. In June month we had seen an awesome bull run and index rally was more than 1000 points. Questions are in the index bull run is stop or there is still room to go upside. As per my analysis, the Index is still bullish and can be tested 11,100 but need to sustain above 10,840. Let's talk about the key factor first.
Ket Factors
============================
1-A slow and steady start in Sgx nifty. The index is trading on 10,975 which is 40 points low from the previous closing. Sgx nifty is also trading on the resistance from the last couple of days and sustaining above on it which is a clear sign for strength. See the below chart.
2-I had predicted Dow move a couple of days ago and it works as per our analysis. Trading on a negative note. Check the below Image to understand the DOW move for the next couple of weeks.
3-COVID-19 cases rose from around 9,000 in the first week of June to over 20,000 in the first week of July.
4-There are also red flags regarding fresh non-performing assets for banks, which may begin to show up after the moratorium period ends on August 31.
5-Stock exchange data also shows a sharp jump in the market share of non-institutional investors (retail investors) participation in the cash segment; this is the highest since August 2009. The share of NICs, which stood at around 50% in FY20, jumped sharply over the last three months and rise to 68%.
6-Global banks face combined loan losses of $2.1 trillion by the end of 2021 as a result of the coronavirus crisis, credit rating agency S&P Global estimates, with a hit of $1.3 trillion this year more than doubling the 2019 level.
7-A fraud of 36.9 billion rupees ($492 million) is being reported to the Reserve Bank of India in the accounts of Dewan Housing Finance Corp., Punjab National Bank said in an exchange filing. The lender has set aside 12.5 billion rupees of provisions pertaining to this incident
8-INDIAN GOVT IS SAID TO TAKE STRICT MEASURES ON STEEL IMPORTS|| INDIAN GOVT PREPARING TO IMPOSE MORE CUSTOM DUTY ON STEEL
Technical View
=====================
10,800 to 11,100 the whole area is supply zone. We had seen a sharp fall on 08th July but yesterday Index has covered the all down move and closed again above 10,800 which is a good sign for Bull. The index is still trading in an uptrend channel so there is no weakness.
Resistance: Intraday Resistance is sitting on 10,850 and the key Resistance is on 11.126.
Support: Intraday support is on 10670 and key support sitting on 10,450
Trade setup
==============
Buy : 10,850 Target:10,890/10,940/11,000 Stop Loss:10,800
Sell : 10,740 Target: 10,690/10,630,10,570 Stop loss : 10,810
Disclaimer: I am not a SEBI Registered Research Analyst and all the information provided here is for educational purposes Views are shared based on market research and study and personal in nature. Others can take different views and opinions.
Good Luck and Happy Trading
Virendra Pandey
Hope you guys are doing great and making some money from the stock market. In July month we had seen a choppy start and an infection market. The index is testing 10,840 levels multiple times this week but failed to sustain above on it. In June month we had seen an awesome bull run and index rally was more than 1000 points. Questions are in the index bull run is stop or there is still room to go upside. As per my analysis, the Index is still bullish and can be tested 11,100 but need to sustain above 10,840. Let's talk about the key factor first.
Ket Factors
============================
1-A slow and steady start in Sgx nifty. The index is trading on 10,975 which is 40 points low from the previous closing. Sgx nifty is also trading on the resistance from the last couple of days and sustaining above on it which is a clear sign for strength. See the below chart.
2-I had predicted Dow move a couple of days ago and it works as per our analysis. Trading on a negative note. Check the below Image to understand the DOW move for the next couple of weeks.
3-COVID-19 cases rose from around 9,000 in the first week of June to over 20,000 in the first week of July.
4-There are also red flags regarding fresh non-performing assets for banks, which may begin to show up after the moratorium period ends on August 31.
5-Stock exchange data also shows a sharp jump in the market share of non-institutional investors (retail investors) participation in the cash segment; this is the highest since August 2009. The share of NICs, which stood at around 50% in FY20, jumped sharply over the last three months and rise to 68%.
6-Global banks face combined loan losses of $2.1 trillion by the end of 2021 as a result of the coronavirus crisis, credit rating agency S&P Global estimates, with a hit of $1.3 trillion this year more than doubling the 2019 level.
7-A fraud of 36.9 billion rupees ($492 million) is being reported to the Reserve Bank of India in the accounts of Dewan Housing Finance Corp., Punjab National Bank said in an exchange filing. The lender has set aside 12.5 billion rupees of provisions pertaining to this incident
8-INDIAN GOVT IS SAID TO TAKE STRICT MEASURES ON STEEL IMPORTS|| INDIAN GOVT PREPARING TO IMPOSE MORE CUSTOM DUTY ON STEEL
Technical View
=====================
10,800 to 11,100 the whole area is supply zone. We had seen a sharp fall on 08th July but yesterday Index has covered the all down move and closed again above 10,800 which is a good sign for Bull. The index is still trading in an uptrend channel so there is no weakness.
Resistance: Intraday Resistance is sitting on 10,850 and the key Resistance is on 11.126.
Support: Intraday support is on 10670 and key support sitting on 10,450
Trade setup
==============
Buy : 10,850 Target:10,890/10,940/11,000 Stop Loss:10,800
Sell : 10,740 Target: 10,690/10,630,10,570 Stop loss : 10,810
Disclaimer: I am not a SEBI Registered Research Analyst and all the information provided here is for educational purposes Views are shared based on market research and study and personal in nature. Others can take different views and opinions.
Good Luck and Happy Trading
Virendra Pandey
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