InvestorQ : What is the outlook and trend for Indian markets starting 14th December 2020?
divya Sing made post

What is the outlook and trend for Indian markets starting 14th December 2020?

Answer
image
1 month ago
Follow
Persistent flow of foreign money drove Indian equities to yet newer highs. Indian equities outperformed global peers. The momentum increased further. The activity level was very high and intense. Volumes were very high and market breadth strong. PSU Banks was again the top performer. Consumers also did very well. Commodities and pharma were notable underperformers. INR gained marginally. Bond yields were marginally lower. Domestic institutions continued to sell.

The global risk rally paused as the traders took some bets off before the Fed’s policy statement scheduled for this week. Worse than expected job data and lower than expected ECB QE addition also impacted traders’ sentiments. Vaccine trade appeared fading as, after the UK, Pfizer vaccine got EUA from US FDA also. Volatility spiked and bonds gained. USD was marginally higher.

The outlook and trend for Indian markets remain unchanged from the previous week. However, the momentum has increased further indicating an even higher probability of a sudden change in the trend in the coming days. The short-term (weekly) and mid-term (Monthly) trend and outlook for Nifty are firmly negative indicating an adverse risk-reward ratio. The near term (daily) outlook and trend for Nifty is neutral. 

For this week:
The day traders may avoid trading in the 13335 - 13585 nifty range. The long positions may be held with a stop loss of 12953.

For Bank Nifty, All short positions may be held with a stop loss of 30980. Day Trading may be avoided in the 30270 - 30615 range. For all long positions maintain a strict stop loss of 30115.
1 Views