The post preview stock market updates in last week and how traders and beginners can benefit from good and bad market sentiments for the upcoming week.
Irrespective of what brokers advise you, it is wise to do homework before stock market investing. Doing homework is a powerful tool for success by collecting data and information. With the post aims to empower stock market beginners to trade confidently. Some important topics we will cover in the post are:
- The stock market performance last week
- Prepare students for the upcoming week
- Positive and Negative market news or factors affecting the stock market performance
- NIFTY50 levels from last week
- NIFTY50 levels prediction for next week
- Finally, we will predict for next week stock market movement
Stock Market Outlook Last Week
On Friday 12 October 2019, NIFTY50 closing levels are 11,305 up 110 points. A huge rally was seen during the third week of September with 500-700 points increase when Finance Minister announced an economic booster. Resulting in a higher gap between the market support and resistance levels. The situation worried several traders to take a position in the market to gain profits.
The market is highly volatile to good and bad sentiments. With an announcement in a market booster, the economy was sludge to 600 points. However, it is important for smart investors to understand that the booster will impact the market in the long-term. Traders need to focus on the current market data and events for short-term market strategy.
Many traders fail to analyse how market data affects NIFTY50 levels. As they are not able to segregate market news into good or bad News. You can learn rules to interpret news through Market Analysis by Data and Event Course.
Last week, the Crude oil market-level rise 115 points up to 3869. The traders investing in the bullish market at a NIFTY50 support level of 10,960 were profitable. We advise short-term traders to take a bearish call with a resistance level of 11,388.
Market Performance on Daily Candlestick Chart
Let’s see the NIFTY50 performance for week 6 to 12 October 2019 on candlestick charts.
In our last post, we advise taking the bullish trend in the weekly market. Note it is important to understand when support levels are close by we do not use the daily support level. Traders can learn these tactics through experience only. Last week NIFTY50 support level was 10,960. The market closed at a resistance level of 11,388. On Monday 7 October 2019 the NIFTY50 remained within the range of 11,491 to 10,960. On Tuesday the market was closed due to Dussehra celebration.
NIFTY50 levels on Friday 20 September 2019 slumped up 500 points of 11,600. Creating a gap between two levels 11,491 and 10960 The market will struggle between these two levels, making it difficult for small traders to make profits. Thus, it is risky to make money especially those looking to take buy calls.
Market opened with negative sentiments on Monday with RBI announcement of repo rate cut of 25 bps which was not so down. On global front U.S – China trade war affecting the levels negatively on the Global market levels.
Letschk last week market movement in line with News flows
Global Positive Market News
- Saudi Arabia resumes normal production level after drone attack
- U.S – China trade optimizing
Domestic Positive Market News
- Infy gave better results than expected
- The strong buzz in the market for another booster in personal tax cut-to boost spending
Global Negative Market News
- Weak global cues-doubts on China trade talks
- U.S – China trade war continues to grow
Domestic Negative Market News
- TCS reported a 1.8 percent growth in net profit at Rs 8,042 crore for the second quarter ended September 30, 2019.
- Q2 results for corporate can be disappointing
In a nutshell, there were no major market sentiments released. The impact can be seen in the candlestick chart of the last week. The NIFTY50 level was in the close range at a resistance level of 11,389. On Friday the market levels were highest at 11,362 below our predicted level of 11,389.
Now let’s see the market performance for the upcoming week.
On Monday 14 September 2019, WPI and CPI data will be released. Whereas on Friday 18 October 2019, Financial Minister to meet RBI for review. In the Global market, On 20 October 2019, US Core Retail Sales and Crude Oil Inventory data will be released. On 21st October USA building permit number will be announced. On Friday 22 October China GDP data and IIP data will be released.
What to Expect This Week
Nifty is in strong uptrend as per UDTS Monthly, daily, and weekly TREND IS UP FOR NEXT WEEK WITH SUPPORT LEVELS OF 10,960 S, 11,196 11,257. The market will remain in bullish trends. Traders should avoid selling above these levels.
Let’s see the stock market performance in the candlestick chart for next week.
In the above chart, you can see the market closed above the level at 11305 above all support levels. Short term traders should take bullish positions but not below 11196.
- Long-term positional traders should take a bullish position at a stop loss of 10,960.
- The market range will be 10,900 to 11,500.
- Short-term traders should take a bullish position at a range-bound of 11,220 to 11,500.
- Take positive trades if the market does not breach the support level of 11,196
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