DAILY RESISTANCE FOR NIFTY: 11425,11450,11475
WEEKLY RESISTANCE FOR NIFTY:11450,11500,11550
NIFTY IN THE PAST WEEK
What a splendid week it turned out to be for our markets
as we finally saw nifty hitting record highs. Throughout the week, Nifty
maintained its positive posture and Friday’s session started with a bang at new
highs. On Friday nifty future has opened at 11306 made a high of 110406 and low
of 11302 and finally closed at 11396.
Despite mixed global cues, the week started with
mildly positive bias. During the initial trade on Monday, we did witness minor
profit booking, which was probably a weak attempt to restrict the nifty below
11300. As a result, the early morning dip eventually got bought into and index
went on to reclaim the 11300 mark on a closing basis. On Monday nifty future
closed at 11338. On Tuesday the day started on a flat note in the absence of
any major trigger from the global peers. The remaining part of the day was
almost a replica of monday’s action as the index first corrected marginally in
the initial hours and then a strong buying at lower levels pushed the index
higher to clock smart gains of seven tenths of a percent to conclude at new
high. Finally nifty future ended at 11371 on Tuesday. On Wednesday nifty had a
flat start after seeing a smart recovery during the latter half of Tuesday. Nifty
consolidated for the major part of the day; but volatility just kicked in once
the RBI came out with its verdict on bi-monthly monetary policy. The market
stabilized after some wild swings and the index eventually managed to close
with negligible loss. Volatility was very much on cards considering the key
event; but despite 25bps rate hike, index did not see any damage, which is
certainly an encouraging sign. Nifty future closed on Wednesday at 11341. After
the RBI monetary policy event on Wednesday, on Thursday nifty started on a weak
note mainly on the back of some corrective moves seen in the global markets.
However, as the sell off aggravated globally, our markets started to feel the
rub off effect of the same and hence, we witnessed sustained weakness
throughout the day to shed nearly a percent; becoming the weakest session after
July 16. The Nifty future has ended at 11282.
Now, the nifty future have to hold above the 11375 -11400
zone to extend its upward move towards the 11435-11475 level. It has been
making higher highs and higher lows for last four weeks and a hold above 11250
level would be important for the index to move higher.
Minor support for the index lies in the zone of 11200
to 11175. Support for the index lies in the zone of 11150 to 11125. If the
index manages to close below these levels then the index can drift to the
levels of 11100 to 11050 where long term moving averages levels are lying.
Resistance for the index lies in the zone of 11450 to 11500. If the index
manages to close above these levels then the index can move to the levels of 11525
to 11550.
Broad range for the week is seen from 11200 on
downside & 11500 on upside.
Nifty has came into its groove now and enjoying its
spectacular Bull run. There has been no stopping for the market as we can see
new highs getting clocked every day. Nifty above 11400 is finally a reality now
and the recent anticipation has now become a confirmation.
The ‘RSI-Smoothened’ crossing the 70 mark (in upward
direction) at the same time provided credence to this price configuration.
After such a decent rally, is market overbought now? We would say not yet,
there is still long way to go or we would rather reframe it as probably a start
of new leg. With Friday’s closing, we can see a breakout from previous highs
with a ‘Breakaway Gap’; indicating strong optimism to continue with some force.
Since, we have entered an uncharted territory; it would be difficult to give
precise levels. But, if we have to keep any number in our mind, then we would
not be surprised to see index hastening towards 11500 – 11575 and beyond. As
far as supports are concerned, 11200 followed by 11100 would be seen as
immediate levels. Any possible decline towards these levels should ideally be
used as a buying opportunity. Mind you, it’s just a beginning; traders should
not hesitate even after this spectacular intra-week rally. One needs to pick a
right proposition and should keep using decline to buy into.
PIVOT POINT:11350
DAILY SUPPORT FOR NIFTY : 11300,11275,11250
DAILY CHART FOR NIFTY
WEEKLY RESISTANCE FOR NIFTY:11450,11500,11550
PIVOT POINT: 11300
WEEKLY SUPPORT FOR NIFTY : 11250,11200,11150
WEEKLY CHART FOR NIFTY
NIFTY IN THE PAST WEEK
What a splendid week it turned out to be for our markets
as we finally saw nifty hitting record highs. Throughout the week, Nifty
maintained its positive posture and Friday’s session started with a bang at new
highs. On Friday nifty future has opened at 11306 made a high of 110406 and low
of 11302 and finally closed at 11396.
Despite mixed global cues, the week started with
mildly positive bias. During the initial trade on Monday, we did witness minor
profit booking, which was probably a weak attempt to restrict the nifty below
11300. As a result, the early morning dip eventually got bought into and index
went on to reclaim the 11300 mark on a closing basis. On Monday nifty future
closed at 11338. On Tuesday the day started on a flat note in the absence of
any major trigger from the global peers. The remaining part of the day was
almost a replica of monday’s action as the index first corrected marginally in
the initial hours and then a strong buying at lower levels pushed the index
higher to clock smart gains of seven tenths of a percent to conclude at new
high. Finally nifty future ended at 11371 on Tuesday. On Wednesday nifty had a
flat start after seeing a smart recovery during the latter half of Tuesday. Nifty
consolidated for the major part of the day; but volatility just kicked in once
the RBI came out with its verdict on bi-monthly monetary policy. The market
stabilized after some wild swings and the index eventually managed to close
with negligible loss. Volatility was very much on cards considering the key
event; but despite 25bps rate hike, index did not see any damage, which is
certainly an encouraging sign. Nifty future closed on Wednesday at 11341. After
the RBI monetary policy event on Wednesday, on Thursday nifty started on a weak
note mainly on the back of some corrective moves seen in the global markets.
However, as the sell off aggravated globally, our markets started to feel the
rub off effect of the same and hence, we witnessed sustained weakness
throughout the day to shed nearly a percent; becoming the weakest session after
July 16. The Nifty future has ended at 11282.
NIFTY: A STRONG SUPPORT WILL BE @ 11200; STRONG RESISTANCE LEVEL
SEEN @11500
Now, the nifty future have to hold above the 11375 -11400
zone to extend its upward move towards the 11435-11475 level. It has been
making higher highs and higher lows for last four weeks and a hold above 11250
level would be important for the index to move higher.
Minor support for the index lies in the zone of 11200
to 11175. Support for the index lies in the zone of 11150 to 11125. If the
index manages to close below these levels then the index can drift to the
levels of 11100 to 11050 where long term moving averages levels are lying.
Resistance for the index lies in the zone of 11450 to 11500. If the index
manages to close above these levels then the index can move to the levels of 11525
to 11550.
Broad range for the week is seen from 11200 on
downside & 11500 on upside.
TECHNICALLY
SPEAKING.
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