Nifty
Nifty opened on a positive note and traded with extreme volatility throughout the session. Nifty closed at 17722 with a gain of 98 points.
On the daily chart the index has formed a small bullish candle with shadows on either side representing extreme volatility as well as indecisiveness amongst participants regarding the direction. The index is moving in a Lower Top and Lower Bottom formation on the daily chart indicating negative bias. The chart pattern suggests that if Nifty crosses and sustains above 17800 level it would witness buying which would lead the index towards 17900-18000 levels. Important Supports for the day is around 17700 However if index sustains belwo 17700 then it may witness profit booking which would take the index towards 17600-17500 levels. Nifty is trading below its 100 day SMA which indicates negative bias in the short to medium term. Nifty continues to remain in a downtrend in the short to medium term, so selling on rallies continues to be our preferred strategy.
The daily strength indicator RSI is moving upwards and is above its reference line indicating a pullback in the short term.
The trend deciding level for the day is 17710. If NIFTY trades above this level then we may witness a further rally up to 17760-17800-17855 levels. However, if NIFTY trades below 17710 levels then we may see some profit booking initiating in the market, which may correct up to 17670-17615-17575 levels
Banknifty
Banknifty opened with an upward gap and witnessed selling for the first part of the session. However, last hour pullback action pulled the index higher to close on a positive newes… Banknifty closed at 41367 with a gain of 532 points.
On the daily chart, the index has formed a bearish candle forming lower High-Low compared to previous session and has also closed below previous session's low indicating further weakness. The index continues to move in a Lower Top and Lower Bottom formation on the daily chart indicating negative bias. The chart pattern suggests that if Nifty crosses and sustains above 41500 level it would witness buying which would lead the index towards 41600-41800 levels. Important Support for the day is around 41200 However if index sustains below 41200 then it may witness profit booking which would take the index towards 41000-40900 levels.. Banknifty is trading below 100 day SMA indicating negative bias in the short to medium term. Banknifty continues to remain in a downtrend in the short to medium term, so selling on rallies continues to be our preferred strategy.
The daily strength indicator RSI is moving upwards and is above its reference line indicating a pullback in the short term.
The trend deciding level for the day is 41255. If BANK NIFTY trades above this level then we may witness a further rally up to 41515-41665-41930 levels. However, if BANK NIFTY trades below 41255 levels then we may see some profit booking initiating in the market, which may correct up to 41105-40840-40690 levels.
To Read Complete Report & Disclaimer
For More Axis Securities Disclaimer https://simplehai.axisdirect.in/disclaimer-home
SEBI Registration number is INZ000161633
Views express by all participants are for information & academic purpose only. Kindly read disclaimer before referring below views. For Disclaimer
