Nifty Bank Outlook for the Week (Dec 04, 2017 – Dec 08, 2017)

BANK NIFTY

   

Nifty Bank closed the week on negative note losing around 2.30%.

As we have mentioned, last week that minor support for the index lies in the zone of 25550 to 25600. Support for the index lies in the zone of 25000 to 25100 from where the index broke out of triple top pattern. If the index manages to close below these levels then the index can drift to the levels of 24500 to 24600 where break out gap for the index is lying. During the week the index manages to hit a low of 25153 and close the week around the levels of 25200.

Support for the index lies in the zone of 25000 to 25100 from where the index broke out of triple top pattern. If the index manages to close below these levels then the index can drift to the levels of 24500 to 24600 where break out gap for the index is lying.

Minor resistance for the index lies in the zone of 25400 to 25500. Resistance for the index lies in the zone of 25900 to 26000 where channel resistance for the index is lying. If the index manages to close above these levels then the index can move to the levels of 26300 to 26400.

Range for the week is seen from 24500 to 24600 on downside & 25700 to 25800 on upside.

MORE WILL UPDATE SOON!!

Nifty Outlook for the Week (Dec 04, 2017 – Dec 08, 2017)

  NIFTY 50

Nifty closed the week on negative note losing around 2.60%.

As we have mentioned last week, that minor support for the index lies in the zone of 10300 to 10320. Support for the index lies in the zone of 10200 to 10250 where break out levels for the index is lying. If the index manages to close below these levels then the index can drift to the levels of 10050 to 10150 where short term moving averages are lying. During the week the index manages to hit a low of 10109 and close the week around the levels of 10122.

Support for the index lies in the zone of 10000 to 10050 where medium term moving averages and low for the month of November-2017 are lying. If the index manages to close below these levels then the index can drift to the levels of 9650 to 9700 where 200 daily moving averages and lows for the month of August-2017 and September-2017 are lying.

Resistance for the index lies in the zone of 10200 to 10300 where short term moving averages and break down levels are lying. If the index manages to close above these levels then the index can move to the levels of 10480 to 10520 where trend-line joining highs formed in the month of September-2016 and August-2017 is lying.

Broad range for the week is seen from 9700 on downside & 10400 on upside.

MORE WILL UPDATE SOON!!

Dow Jones 30 and NASDAQ 100 Price Forecast for the Week of December 4, 2017, Technical Analysis

With volatility peaking on Friday, we still saw the buyers come back into the marketplace, showing just how strong US stock markets are.

Dow Jones 30

The Dow Jones 30 broke out during the week, breaking above the 24,000 level again. By closing towards the top of the candle, it looks as if we are ready to continue the bullish run higher, and currently, it looks as if the 23,500 level is a bit of a floor. Obviously, algorithmic traders come in and pick up every short-term pullback, and I think that there is plenty of support at various levels underneath, so given enough time I think that the market will eventually go looking towards the 25,000 level, which is the next major round number. Expect the “Santa Claus rally” to come in full effect, but we do have a lot of volatility due to the General Flynn announcement during the Friday session that he was willing to testify against the White House.

NASDAQ 100

The NASDAQ 100 got absolutely pummeled at one point during the week but turned around to form a nice-looking hammer. The hammer is pressing against the 6400 level, and it looks very likely that we are going to see this market go looking towards the 6500 level given enough time. Pullbacks remained buying opportunities as algorithmic traders jump into the marketplace, and continue to drive to the upside. I think that the 6000 level underneath is the “bottom or floor” of the overall trend. This is a market that continues to be very noisy, but quite frankly it’s likely that the algorithms will continue to pick up any time we see value as robots has taken over Wall Street trading. Keep your position size very small, if nothing else to protect your account.

MORE WILL UPDATE SOON!!

S&P 500 Price Forecast December 4, 2017, Technical Analysis

The S&P 500 showed massive amounts of volatility during the trading session on Friday, and that truly showed itself as General Flynn decided to flip state’s evidence.

The S&P 500 was very volatile during the Friday trading session, and as you look at the hourly chart, you can see that the volatility has extended in both directions, and was getting worse by the end of the day. The massive negative candle formed on the hourly chart was due to General Flynn suggesting that he was willing to testify against the White House, and that sent the markets into a bit of a shock. However, we turned around and gained back most of those losses, and by the end of the day Friday it looks like we are very bullish again. A break above the 2650 level should send this market to the upside, perhaps looking towards the 2700 level. The 2600 level underneath should be massively supportive, and I believe that the market will continue to have a lot of a “buy on the dips” type of mentality. The algorithmic traders continue to take advantage of these pullbacks, as we have not had a proper pullback in ages. Any time we see the market pull back the way it has during the day on Friday, it seems like the buyers are willing to jump in. Friday was no different as you can see.

I believe that the 2600 level underneath should be thought of as a bit of a “floor” in the market, and I think that the general attitude of the market is very bullish, and a break above the 2650 level is possible, even on Monday. However, over the weekend we have a lot of potential for headlines coming out of the news that will cause this market to move quickly, be it up or down.

MORE WILL UPDATE SOON!!

Weekly Investment Stock Pick- Sunflag Iron & Steel Company.

Today we have picked our weekly investment pick from a steel sector namely Sunflag iron and steel company.Steel sector has been buzzing for  long time an d to meet the investment demand of our invsetors we have come up with this stock as an long term mutltibagger potential pick.Stock is relatively a low beta stock and investors may not be affected by volatile movements.

Sunflag Iron & Steel Company

  

On carefully looking at  the charts stock is trading near  52-week high high and has shown stable consolidation moves even in the recent turmoil markets.If one look carefully a bullish pennant candlestick pattern may form if breakout at 85--90 is met with high increase of volumes.

 Stock is currently trading around 78 and has immediate support around 68--64 levels and one may wait for these level to enter for long term view.Stock has immediate resistance around 85--90 and  if these resistance are successfully breached and sustained then we make see stock making new life time high.

RSI of 53 and increasing also suggest that stock may be entering overbought zone soon which will be accompanied by rise in volumes to push the stock for a a strong upward trend as market improves.

MACD of positive divergence of 0.14 also suggest that a strong upside momentum may be just around the corner.

Fundamentals of stock

Market Cap:1423.73 crore

EPS:3.62

Face Value 10

P/E:21.83

Qualified Foreign Investor:0.29

About Company

Sunflag Iron and Steel Co. Ltd. is a prestigious unit of the SUN FLAG GROUP. The plant is located in the central part of India at Bhandara, Maharashtra & it is 70 Kms from Nagpur. The plant has a capacity to produce 360,000 tonnes per annum of high quality special steel using liquid pig iron and sponge iron as basic inputs.

The main processes at the plant are,

– Iron making (Mini Blast Furnace, Sponge Iron Plant, Sinter plant).

– Steel Making

– Continuous Casting

– Rolling Mills

– Heat Treatments

– Bright Bar Making

– Inspection

– Quality Assurance

The profiles are Round Bars, Round Cornered Square, Round & Hexagonal wire Rods, Hexagonal straight bars, Flats, Bright Bars (Peeled/Drawn/Ground bars) etc.

The Steel is produced using 100% Iron ore as a basic raw material input. No scrap is sourced from outside.

The steel has very low tramp element contents & free from Radioactive or other harmful & hazardous contamination.

Within a short period of its inception in 1989, the SUNFLAG STEEL has established itself as a major global force. Started as a Spring Steel producer, the company today produces variety of steels. Carbon Steels, Alloy steels, Free & semi free cutting steels, Micro-alloyed steels, Stainless Steels, Spring Steels, Valve Steels, Bearing Steels, Cold Heading Quality Steels, Tool Steels, etc.

Sunflag Steel produces majority of the Steel for Automobile use in Engine, Drives, Transmissions, Suspensions etc. applications. Sunflag Steel also supplies steel to Indian Railways, Ordnance Factories, General Engineering & Power sectors.

Sunflag Iron & Steel Co. Ltd. has a collaboration with Daido Steel Co. Ltd., Japan from 2010. The association is useful for process & Quality enhancements, New Grade Developments, Localization of Indian Steel by the Automobile companies, Continual Improvements, etc.

Apart from catering to the Domestic steel requirements, Sunflag Steel also exports to South East, Middle East, European countries, United States etc.

Sunflag Steel is ISO 9001, TS 16949, ISO 14001 , OHSAS 18001, AD-2000-Merkblatt WO certified & ISO/IEC 17025 approved Testing laboratories by NABL.

Sunflag is Actively engaged in Pollution Control and accrediated by EMS Award.

Conclsuion

Immediate Resistance 85--90

Immediate Support 70--68

Buy Zone:78--70

Target 120--150+ In three months

MORE WILL UPDATE SOON!!