mrkt.co.in is a trading sentimental analysis blog which explores in-depth insights into market sentiment right from the social media, media channels, global market sentiments, market reactions to the news, emotional trading. Its a blog which helps you to understand how others perceive the market and how irrational markets are.
As a trader worst thing one can do is anticipating trend all the time. When a trader anticipates a trend but rather market does a sideways action if often frustrates a trader and often leads to take wrong decisions throughout the sideways phase. This week lets analyze the weekly sentimental data points from Nifty and Bank Nifty Futures.
It is a interesting question from a sentimental point of view. Everyone gets excited especially the media channels and speculators when a popular chairman rejoins the board or a Resigns from the Board. Some how you need to understand that markets are crazy and illogical. So today I brought two case studies to understand how sentiment worked in the past especially when a popular Executive Board Member Joins/Resigns.
Nifty and Bank Nifty sentiment turned negative on the EOD charts on the event of BRExit poll announcement. And the global markets also strongly reacted for the BRExit poll outcome. USDINR Spot closed around 67.8264 and GBPINR lost almost 5%. Reality, Capital Good and Metals are the Top Sector losers with looses mounting to more than 3% each.
Selloff in the Global Market and Indian Stock market goes intensive last week and in the last two months alone nifty had lost nearly 12.33%. Such a deepcuts in the market are more likely due to Global Sentiment, Chinese Market manic sell-off, local NPA Banking Crisis. Raising credit spreads – Junk bond market is flashing out warning signs and the spiking Gold-Oil Ratio above 30 year high are some of the pre-warning signals for this market crash.
Nifty Daily continues to be in positive sentiment for the last 5 trading sessions. However the weekly sentiment holds negative for the last three weeks and likely to continue for yet another week. On contrary Banknifty sentiment turns positive on Daily and weekly charts after the friday’s price action. Bank Nifty is expected to outperform Nifty in the upcoming trading sessions.