MARKET OUTLOOK FOR 19th July 2021

TODAY’S MARKET SNAPSHOT:

	NIFTY	BANKNIFTY
OPEN	15958.35	35977.95
HIGH	15962.25	35977.95
LOW	15882.60	35674.75
CLOSE	15923.40	35751.80
PREVIOUS CLOSE	15924.20	35907.65
SUPPORT	15840	35600
RESISTANCE	15960	36000
VIEW	Positive	Positive

The nifty remained in a consolidation mode throughout the trading session on July 16. The nifty closed flat at 15923.40 while the bank Nifty fell 155.85 points and closed lower at 35751.80. The Sensex closed 18.79 points lower at 53140.06.

On the sectoral front, buying was seen in Pharma, Realty, metal, Infra and energy sectors while selling pressure was seen in IT, PVT banks and Service sector space.

On the broader market front, the nifty midcap 100 index was up 0.35 percent and the nifty small cap 100 index was up 1.10 percent, outperforming the benchmark indices.

The advance decline ratio stood in the ratio of 1:1

Nifty 50 managed to close above 15900 for the second session in a row. The bullish is expected to continue in the coming sessions. At this juncture of time, bulls have an advantage over bears. The investors are advised to remain neutral in the coming session as no major event is lined up in the coming week. The strength in nifty will remain intact until nifty holds 15850. Once 15850 is broken with heavy volumes, investors should exit from their long positions and initiate fresh short positions. The nifty formed Hanging Man kind of pattern on daily charts on July 16 and there was bullish candle formation on the weekly scale.

Bank nifty looks overbought on weekly charts. The bank nifty will first react to HDFC bank results on July 19. The investors are suggested to lighten their positions on bank nifty. If bank nifty breaks 35600, then initiate short positions for a target of 35000 in next 2-3 sessions. On upside, if bank nifty holds 35900 and gives closing above it, then it is likely to hit 36200 in next 1-2 sessions.

Global cues and earnings announcements will continue to dictate the market trend in coming sessions. The progress of the monsoon and covid related updates will also remain the main areas of focus in the coming sessions.

FII & DII Data

Foreign institutional investors (FIIs) net sold shares worth Rs 466.30 crore, while domestic institutional investors (DIIs) net purchased shares worth Rs 666.07 crore in the Indian Equity Market on July 16 as per provisional data available on the NSE.

TODAY’S TOP FIVE GAINERS AND LOSERS (NIFTY)

SYMBOL	LTP	%CHNG	VOLUME
DIVISLAB	4,766.55	3.46	11,56,272
BHARTIARTL	540.95	2.95	1,10,43,791
ULTRACEMCO	7,320.15	1.82	4,36,381
TATASTEEL	1,274.75	1.50	84,96,925
POWERGRID	233.50	1.35	89,45,881
HCLTECH	1,006.00	-3.25	86,65,827
EICHERMOT	2,619.10	-1.81	10,37,591
INFY	1,556.75	-1.52	62,65,593
BAJAJFINSV	12,766.25	-1.49	2,52,782
ADANIPORTS	689.00	-1.44	69,41,246

ANALYSIS OF TODAY’S DERIVATIVE DATA for 22^nd July Expiry

1. NIFTY

As per today’s option chain data, strong resistance for nifty exists at 16000 level while as strong support exists at 15900 level. The call writing was seen at 16000, 16100 and 16200 strike prices while as put writing was visible in today’s trade at 15900, 17800 and 15650 strike prices.

• Bank Nifty

As per today’s option chain data, Strong resistance for bank nifty exists at 36000 level while as strong support exists at 35500 level. Call writing seen at 36000 and 36500 strike prices while as put writing was seen at 35500 and 35000 strike prices.

MAXIMUM PAIN OPTIONS FOR 22^nd JULY EXPIRY

NIFTY	16050
BANK NIFTY	36100

Sectors to watch out for tomorrow

1. Nifty metal
2. Nifty Pharma
3. Nifty Realty

Stocks to watch out for tomorrow:

1. Glenmark
2. Jindal Steel
3. REC

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