Nifty Futures at Cross Roads Again !
- Last week, in a truncated week of of trading, Nifty futures traded all over the place and finally ended with a loss of some 35 points.
- About two weeks back, this blog had indicated that the preferred immediate market direction would be somewhat flat and Nifty future may spend some time trading in the 5700 to 5950 area before trying to find the next major movement.
- It was also indicated that the positive momentum in the weekly charts may prevent the market from falling much and the Nifty futures may get support at the 200 DMA at 5730 levels.
- Though the Momentum Signal trading system had indicated sells on last Monday and Friday, the outcome of even the latest sell signal is still subject to the above technical factors.
- However, more of disappointing corporate results and more interest rate hike expectations may adversely affect the market in the near term. Further fall in the U S Dollar index, however may help commodities and emerging markets on the positive side.
- After considering all these factors, the immediate market direction remains a bit hazy at present.
Nifty Futures - Intra-day Chart
- Following the disappointing earnings guidance by Infosys, Nifty futures too sold off on Friday. Some of the pivotal stocks held their ground in the morning session. However, those stocks also joined the sell off when the higher than expected inflation data came out before noon on Friday.
