This week was highly volatile and event base. The market was witnessed sudden up and down this week and undirected. The market has lost its previous gain and settled with a long bearish candle. At the weekly closing, The Nifty index loses around –340 points, Niftybank index loses –2145 points and Sensex –1150 points each.

On a weekly basis, the Nifty index opened at 11491.15 went up to 11554.20 and closed at 11174.75 after making the low of 11158.35. Niftybank index opened at 29674.80 and stay volatile between 29754.40 to 27653.70 settled at 27731.85.s Sensex opened at 38873.12 made a high of 38923.78 low 37633.36 and closed at 37673.31.

As per our last view, ‘if the Nifty index sustains above 11550 then again it can move up till 11700 and if the Nifty index breaks and trade below 11400 then further downwards level can be seen’ and the index test the resistance of 11550 then fell till 11158 after breaking 11400.

For next week’s trading, if the Nifty index sustains below 11300 then the downtrend will continue till 11085. If the Nifty index breaks and stay above 11300 then it can go up to 11500 to 11600.

From the above weekly chart of the Nifty index, it can be seen that the index is trading below following the downtrend. It can also be seen that the index has broken its near support and try to test 11085 support. The market has given a sharp fall after the Reserve Bank of India repo rate cut. The market was in the hands of bears a whole week and stayed highly volatile. Technically, the market will be weak and highly volatile, it can give an unexpected move during the trading session in the coming days. On weekly, indicators like RSI and stochastic are showing somewhere positiveness but MACD suggesting an indecisive and unpredictive move.

Index Nifty trading zone from 07-10-2019 to 11-10-2019

Upside resistance(weekly):-  11300, 11435, 11695.

Downside support(weekly):- 11150, 11085, 10900.

CORPORATE ACTIONS

SCRIPT PURPOSE EX-DATE RECORD DATE
ACCELYA Final Dividend – Rs. – 15.0000 10 Oct 2019  
FRSHTRP Buy Back of Shares 10 Oct 2019 11 Oct 2019
JONJUA Bonus issue 1:25 10 Oct 2019 11 Oct 2019
CENTURYTEX Spin Off 11 Oct 2019 14 Oct 2019

NEWS HIGHLIGHT

  • The Reserve Bank of India today redeuced repo rate by 25 basis points.
  • Sarang and Rakesh sent to police custody till October 09 (PMC bank update)
  • EOD formed SIT to investigate the NSEL matter.
  • Rupee ends flat at 70.89 per dollar.
  • Info edge climbs 7% on Zomato’s $600mn fundraising plan.
  • IRCTC IPO subscribed 112 times.