Thursday, December 31, 2020

NIFTY HITS 14000 MOUNT ON THE LAST DAY OF 2020

Nifty hit 14000 on 31 December 2020. In 13 years nifty moved 9000 points. This is the journey of nifty since 2007. It took 10 years for nifty to gain 5000 points & only 3 more to rack up another 4000 points. What an epic recovery we have had from the lows of 8000 this year in march 2020 to 14000 on 31 DEC 2020. The Nifty surpassed the 14000-mark for the first time ever on the last day of 2020 as market continue to scale new highs hoping that a prolonged monetary stimulus and a Covid-19 vaccine would lead to a quicker-than-expected turnaround from the pandemic-induced recession. The nifty gauge has gained the last 1000 points from 13000 to 14000 in 26 trading sessions, starting November 24, surging 8.2%. Of these trades, the index has lost in only four of them as of closing on Dec. 30.

If 2020 was a roller coaster ride for investors, the New Year may be no different. Any reversal in liquidity could trigger a sharp reversal in the markets. Market strategists anticipate that the recovery in the economy that is expected to play out next year will give a boost to the markets along with the upgrades in corporate earnings. The Nifty is trading very close to the 14000 level if it can sustain above this on a closing basis, we should anticipate it to go up further to levels closer to 14100-14200. The overall market remains bullish with a good support at the 13800-13600 zone. Traders must trail position with strict stop loss.
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Resistance: 14000, 14100, 14200

Support: 13800, 13700, 13600


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