Daily BSE NSE Forecast August 10, 2017
Expectation: Bullish long term, slightly bearish near term
Action: Sell, with a target of 31,600
Yesterday, as we had predicted, the BSE Sensex dropped sharply and closed at 31,797, hence losing 216 points in the day’s trade. At this time, this market is still in long term bull trend phase but in the short term, it has entered bearish territory. Trend lines indicate that the 31,850 level is the immediate resistance point for this market. If this point is breached and the market closes above this level, then the near term trend will again become bullish and the market would move towards the 32,000 level. Currently, the long term trend is bullish but the near term trend is bearish. The next support level is at the 31,600 region. If the 31,600 support level is breached, then the near term trend would become strongly bearish. Right now, you should hold your positions if you have a relatively longer investment horizon. Alternatively, you can sell with a target of 31,600.
NSE Nifty 50:
Expectation: Bearish to neutral
Action: Sell, with a target of 9750
Yesterday, the NSE Nifty 50 largely mirrored the BSE Sensex – it moved lower and closed at 9908, thus losing 70 points in the day’s trade. This market is currently in a bearish phase. Trend lines indicate that the 9950 level is the next resistance point for this market. If this point is breached and the market closes above this level, then the trend will become bullish, further upward movement will be possible and the market would move towards the 10,100 level. Currently, you should sell with a target of 9750. At this point in time, the 9750 mark is the immediate support level for this market. If the market goes below this level and closes below it, then the trend will turn strongly bearish and further downward movement would be possible. You can aim to sell at this level.