MARKET VIEW: Expect volatilty
Markets have fallen after crossing above 10,000 triggered by sluggish corporate growth, FII selling, and anxiety on GST implementation. A key figure to be noted is that revenue collection from GST has to be greater than the taxes that it has eliminated to show real success of GST implementation. IIP data indicated slowdown in manufacturing and globally, protectionist policies and stronger Rupee are hurting Indian exports.
Technical analysis indicates that immediate major support is at 9450 which was the previous major bottom in June this year. Below that next major support of 38.2% retracement is at 9300 and then 61.8% support at 8750.
For the long term trend to reverse, Nifty has to sustain below 9450.
One should stay invested at these levels.
Market View: Expect volatilty /22/ Aug /2017.