Menu

Gemstone Equity Research & Advisory Services

Blog posts : "options"

Week Ahead: What Next After One Of The Most Brutal Selloff Of The Decade?

The previous week saw one of the worst sell-offs of the decade when the global markets reacted with absolute panic to the spread of the coronavirus. The Indian markets remained affected as well. The global financial markets went in disarray as the world grappled with the possibility of the coronavir…

Read more

Wednesday Trade Setup: Tentative Start To The Day Likely; 50-DMA Remains A Crucial Level To Watch

It was a day of short-covering for the Indian markets as the headline index ended the day with gains. The NIFTY saw a much better-than-expected opening today and got even stronger as the day progressed. The NIFTY moved past the critical 50-DMA level at one point in time. However, the second half of …

Read more

Consolidation May Spill Over To The Coming Week; RRG Chart Show These Pockets Staying Resilient

The previous week remained a six-day trading week for the markets. Saturday, February 01, 2020, was a full-trading day because of the Union Budget that was presented. The day turned out to be a wide-ranging day for the markets on expected lines as Union Budget is one of the most important domestic e…

Read more

Week Ahead: NIFTY Has A Stiff Overhead Resistance To Deal With; RRG Chart Show MidCaps To Outperform

After starting the week on a corrective note, the markets recouped some of its losses on the last two trading days of the week. The last few days have remained volatile for the markets as the headline index NIFTY traded in a wider than usual range. The index oscillated in an over 340-point range, bu…

Read more

NIFTY To Stay In A Defined Range; RRG Chart Point Towards This Sector Potentially Bottoming Out

With the geopolitical tensions subsiding, the markets spent a quiet week as it continued to post a small amount of incremental gains. The trading range also remained capped as the markets oscillated in a capped range. While showing no volatility at all, the NIFTY made minor advancements on the highe…

Read more

NIFTY May Stay Volatile In The Coming Week; RRG Charts Show Key Sectors Continuing To Lose Momentum

While trading on the anticipated lines, the Indian markets continued to consolidate, but also saw tremendous volatility owing to the geopolitical tension in the West Asian region. The NIFTY traded in a wider than usual range and ended the week on a relatively flat note. The index witnessed close to …

Read more

Week Ahead Likely To See Increase In Volatility; RRG Chart Show Likely Resilience From These Sectors

The Indian markets witnessed consolidation again for the second week in a row. The markets saw a general stable week, remained in a limited and defined range, and ended mildly in the negative. In the previous weekly note, we had expected the consolidation to continue and the markets traded much on t…

Read more

Week Ahead: NIFTY At A Crucial Juncture Again; RRG Chart Show Steady Rotation Of These sectors

With just two trading days left in this year, this week will usher us into the year 2020. The markets are set to end this year near their highs, but they are also leaving us at a critical juncture if we look at the market technical from the long term point of view. We wish everyone the best for the …

Read more

Week Ahead: Follow Trend Cautiously As Loss Of Momentum Seen; RRG Tells Us To Focus On These Sectors

The risk-on global setup, which had begun a week before continued throughout the previous week as well. The resultant buoyant setup fueled the Indian markets higher as well which ended at their high lifetime levels. Though the momentum continued to falter, the markets did not show any sign of retrac…

Read more

Week Ahead: NIFTY Crucially Poised With Mixed Cues; RRG Show These Groups To Relatively Outperform

The risk-on global setup towards the end of the week saved the Indian markets from ending on a net negative note. After a weak initial performance, the Indian markets picked up in the second half of the week. The NIFTY pulled itself back from after testing the lower end of the consolidation range th…

Read more

Week Ahead: NIFTY Crucially Poised; RRG Shows Loss Of Momentum Among Few Sectors

In some contrast, as compared to the earlier week, the previous week gave back all its gains while ending near the low point of the trading range. The markets were sitting on the verge of a breakout, but that did not fructify as the markets refused to break above its crucial resistance zone. The wee…

Read more

Week Ahead: RRG Shows Pvt Banks And Financials Rolling Over Strongly; Coming Days Crucial For NIFTY

After healthy consolidation near the 12000-levels over the past couple of weeks, the NIFTY has attempted to break above year-long secondary trend that it was in by ending the week with gains. Throughout the week, the markets pushed hard to breach the double top resistance on the shorter-term charts …

Read more

Week Ahead: NIFTY May Find It Difficult To Deal With Stiff Overhead Resistance; Watch These Sectors

While continuing to trade on the expected lines, the Markets headed nowhere during the previous week and ended on a flat note. The markets never really saw any directional move as it remained within a defined range throughout the last week. Having oscillated back and forth in a capped range, the hea…

Read more

Week Ahead: NIFTY Healthy But Exhausted At Higher Levels; RRG Shows These Sectors To Outperform

The week that went by remained and traded on the expected lines as the zone of 12000-12050 continued to pose resistance to the markets on the upside. The week was spent with the markets consolidating at higher levels while demonstrating weakness near the critical resistance zone. The NIFTY headed no…

Read more

Week Ahead: Higher Levels Sustainable Only If This Bearish Divergence Is Corrected; Caution Advised

The previous week played out very much on expected lines. It was mentioned in our last weekly note that NIFTY is facing stiff resistance in the 12000-12100 area, and the bearish divergences are not allowing a clean breakout on the charts. After staying buoyant for a significant part of the week, the…

Read more

Bearish Divergences Hindering A Clean Breakout; Fingers Crossed For The Coming Week

In a truncated week, beginning from a short Mahurut session, the markets ushered into the new year on a buoyant note. In the previous weekly note, it was mentioned that the NIFTY’s behavior against the price zone of 11700-11750 would be crucial to watch, and a new move would depend upon the index mo…

Read more

Special Note: Under-performance of Small Cap Index Against NIFTY; What It Means Going Ahead

Over the last couple of months, we have seen the NIFTY Small Cap 100 Index under-performing the headline NIFTY Index. If we analyze its recent performance, the previous 6-months have seen the NIFTY returning 8.76% while the NIFTY Small Cap 100 Index has lost 3.71%. The last 12-month performance of t…

Read more

Special Note: Are PSU Banks Likely to Outperform Private Banks? See What RRGs Have To Say

We head in to the month which would remain most volatile and eventful as we face one of the most important domestic events – General Election Results.
 
The equity markets are hovering around their lifetime highs. On one hand, they grapple with not-so-favorable technical set up as they …

Read more

Special Note: When VIX Defies Its Inverse Relationship With NIFTY

The Volatility Index - more commonly known as VIX is a measurement of market's expected volatility in the future. Analysts and Investors alike look at this tool to measure sentiment while making investment decisions. It reflects market participants psychology of greed and fear and it is often referr…

Read more

Some Insights From The NIFTY Premiums

As we know, a futures instrument derives its value from its respective underlying asset. For example, the NIFTY futures instrument derives its value from the NIFTY's spot price. Though the futures price and the price of its underlying move in the same direction, they do not maintain the same distanc…

Read more

20 blog posts

Previous Editions