Friday was a genocide full day to the stock market investors. On the black Friday the key Indian stock indices ended with record losses in a day. The Bombay Stock Exchange's Sensex dropped record 769 points, While NSE's Nifty Index ended the day with loss of 234 points. This was the biggest single day fall since July 2009, as speculators concern about Indian Rupee (INR) weakness which consistently traded above 61 US Dollar mark. Along with the measures taken by RBI earlier in the week has created more fear in the market.

Key Highlights of the Week :

  1. The Wholesale Price Index (WPI) based inflation for July 2013 came in at 5.79% as compared to 4.86% in the Previous month.
  2. Industrial Production (IIP) in June 2013 industrial output declined by 2.2%.
  3. 11.6% rise in Exports for the month of July 2013, the highest in 18 months.
  4. Declined of 6.2 % of Imports during July 2013
  5. Import duty of gold hiked again from 8% to 10%.
  6. Government has banned on the import of gold coins and medallions.
  7. RBI started imposing Capital Controls, announces new steps to restrict Forex flows.

The opening session of the week started with decent gains in-line with positive global cues. NSE's Nifty touched a week's high of 5754.55 and fell to a week's low of 5496.05 and it was open at 5606.7 level as compared to last week close.
On the other end BSE's Sensex closed down by -191.16 points at 18598.18.
Index hit to week's high at 19392.56 and a fell to day's low of 18559.65 and it was open at 18898.94 level.

Nifty Daily 20 Day EMA Chart

Nifty Fibonacci Retracement Chart from 4531 to 6230

Nifty Index ended the day at 5507.85, down by 234.4 points.The 50-share Nifty touched a day's high of 5716.6 and fell to a day's low of 5496.05.
Whereas BSE's 30 share index Sensex closed down by 769.41 points at 18598.18.
BSE's Index hit to day's high at 19310.95 and a fell to day's low of 18559.65.
Market breath remained highly negative, of the 1214 stocks traded on the NSE, 223 advanced and rest 991 were fell.

Technical Formation:

  • The 50% and 61.8% Fibonacci retracement levels of the rise from 4531 to 6230 are placed at 5380 and 5180 respectively.
  • 5 DMA and 20 Day Exponential Moving Average Placed at 5625 and 5721 respectively.
  • 5 WMA and 20 Weekly Exponential Moving Average Placed at 5629 and 5775 respectively.
  • If Nifty breaks the crucial support level of 5477 then we can see further correction towards 5380 and even possibility of testing the 5180 (61.8% Fibonacci retracement level).