Planetary Position :: During the current week Moon would be transiting from Krittika in Aries to Punarvasu in Gemini.
Sun transits in Pushyami in Cancer .
Mercury transits in Aardra and Punarvasu in Gemini.
Mars transits in Chitta constellation in Libra in Scorpio.
Saturn gets into direct motion and presently in Visakha constellation in Aries navamsa .
Jupiter transits in Pushyami in Cancer .
Further, Nifty’s range from last Tuesday to Friday (15thto 18th) i.e., 7685 and 7459
would act as a reference range for the next Three weeks and Nifty would be bullish
above the high of the range(7685) and would be bearish below the Low of this range(7459). Sun conjunction Jupiter could continue to lend support to Banks in the beginning of the week and could drift lower later.

Nifty Outlook for Next Week :: (21.07.2014 to 25.07.2014) (Close to Resistance ..  Stock Specific Approach)…
Nifty gave more than expected pullback after one of the most volatile (budget) weeks. It recovered most of the losses of the previous week and what was expected to be a pullback appears to be a short term reversal. However, stock specific approach is the need of the hour as all stocks do not participate in a rally.
The week was quite positive and Nifty recovered nearly 3%. Technically, there is strong resistance for Nifty around 7750, which if crossed decisively would make the market bullish for the week. On the otherhand, if it trades below 7575, short term bearishness would set in. Hence this is a crucial week (with bullish bias) on the back of huge gains of the last week. As the Government is pro business and investing community and aims to revive growth cycle, medium and long term is quite bullish and ofcourse, short term trend keeps oscillating. Nifty which was below 20 DMA last week is once again above and the short term trend is up. However, since market has run up much ahead of fundamentals, a phase of consolidation / correction before a fresh bout of uptrend. Hence caution is advised at higher levels and scrip specific approach needs to be followed. Lower inflation numbers of last week is a blessing for the Government and RBI for their policy action.

Post Budget correction in most stocks could be a welcome feature for long term investors who had missed out previously. Technically, Medium and Long term trend is quite bullish . Present bull run is only about
8 months old, further rise over a period of next One year can be expected

Sectoral rotation has become order of the day and different sectors should be tracked to discern individual stock trends.Investors need to accumulate quality stocks while traders need to be ever vigilant.

Nifty continues to be above 200 DMA and 50 DMA too is above 200 DMA suggesting that the long term bullish trend is intact. Nifty is quoting at a PE of more than 20, which is about 15% above the
long term PE multiple. Hence, further upside ( 8000+ or 8500+is possible during the year / befre next Budget)
in view of the stable and performing Government at the centre as earnings would go up because
of favourable atmosphere .
As a very stable and proactive Government has been formed, market can be expected to go
up further over medium / long term and market is always ahead of Fundamentals and this time is no exception.

Further, Nifty had been trading in a range of 4600 to 6300 for more than 4 years and a powerful breakout
has taken place for an initial target of about 8000 / 8500. When fundamentals too start improving, further rise over a period can be expected.

Hence strong long term support would be around 6600 level and Medium term support is 7000.

For the coming week, Nifty spot is expected to face
resistance at 7750,  7840, 7925 and find support at 7575, 7490, 7400.

Nifty, in short term bullishness, would continue to remain so as long as it maintains above 7575.
For the next week, break down level is 7760 and if it unable to pierce this level, correction too is possible. On the other hand , if it trades above the same consistently, further rise and a new high can be expected.

Advice for Traders ::
Nifty had more than expected pullback last week and is above 7650 level. As mentioned earlier, Nifty can be expected to face resistance at 7760 and it  trades above the same , further bullishness can be expected, failing which it could go down. Weekly open level may be kept as a reference and long positions may be continued only as long as Nifty sustains above the weekly open.

Further , Weekly Open level is very important for the entire week.
Short positions may be avoided as long as it maintains / closes above
Weekly open and vice versa


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