If you are afraid of increasing the market, then you need to look at Sudeep Shah’s words. Shah is the head of technical and derivative research in SBI Securities. They believe that the FII long-short ratio has slipped to just 15 per cent. Whenever the long-short ratio of FII goes below 15, there is a limited decline in the market. However, he said that from the present data, it seems that the tone of FII is Bareish.
These shares will continue to rise
Shah believes that NMDC, Kims Hospital and GMDC will continue to rise. He said that recently there has been a rise in these shares, which is expected to continue even further. Especially the Momentum Indicators of Kims Hospital and GMDC are not in the overbott zone. He said that the closing of the Nifty 50 has been in the red mark for the third consecutive week. This is a sign of bearish sentiment in the market. It has built a bearish candle on the weekeli chart, whose structure is lower high and lower low. This is a sign of downword momentum.
Signs of continuing bearish tone in the market
Shah said that the Nifty tried to reclaim 20-Day EMA three times throughout the week. However, each time rejections were faced. Now it is trading below 20-day EMA. This shows that the tone of the market is bearish. Now the eyes are on Monday i.e. July 21 session. The reason for this is that at the end of the week many veteran companies have announced their results of the June quarter. The impact of the results will be seen on the shares of these companies on July 21. This will fix the market trend in the short term.
Bayer pressure is also increasing on bank Nifty
He described 24,940-24,900 as the next support level. The reason for this is that it is a 50-day EMA Confumed. If the Nifty falls below 24,900, then the next important support will be available at 24,700. In case of boom, 25,130-25,160 will be the next resistance level. As far as the banking index is concerned, the trend of decline has also increased. It is also closed in red mark for the third consecutive week. The Rising Wage Pattern saw a breakdown on July 18. It went below its 20-day EMA. This is a sign of increasing bearish pressure.