Outlook Of Nifty/BankNifty For Next Week

Nifty:  

Nifty Outlook:

Nifty closed at 9,574 down by 55 points, whereas BSE Sensex closed lower by 152 points at 31,138. HDFC Bank & SBI were contributing nearly 60% to the Bank Nifty downfall. The market breadth was deeply in favour of declines with advance-decline ratio 1:4. Power Grid, Vedanta, Sun Pharma, Aurobindo Pharma and Wipro are the top Nifty gainers, whereas Bank of Baroda, IOC, Eicher Motors, Hero Motocorp and Bosch are the top Nifty losers. The Nifty consolidation has continued within 9500-9700. Stocks witnessed profit booking whenever the index has slipped from higher levels of 9650-9700 in this range. we believe the recent correction may not be deep in nature. Eventually, these levels should be taken out and market may consolidate in the range of 9500-9700 levels

Bank Nifty:  

Bank Nifty Outlook: The Nifty Bank index remained volatile and traded in a broader range with sharp moves seen on both sides during last week. After testing testing a new 52 week high, PSU banks also remained under profit booking mode, which added more pressure to the index. As we are approaching towards expiry, we may see a trigger in volatility, which is hovering near the lower band of the range and is most likely to see an u p-tick in coming days. Huge writing interest was seen in 22800 and 22900 strike Calls, which are likely to act as a hurdle in coming days. Sizeable additions were seen in 22500 Put strike. Hence, the index is likely to consolidate near this levels. A close below this levels would open the gates for another 200-300 points downside, which may trigger some selling in midcap private sector banks as well Nifty Bank options build-up for June series.

Nifty Trends
R1	9684
R2	9721
S1	9540
S2	9500

Technical Outlook:

Nifty Day Performance
Open	9,639.95
High	9,640.00
Low	9,574.20
Close	9590.05

Top Gainers
POWERGRID	206
VEDL	237.30
SUNPHARMA	544.55
AUROPHARMA	672.90

Top Losers
BANK BARODA	160.75
IOC	384.25
EICHERMOTORS	27083.00
HEROMOTCORP	3650.55