Thursday, August 19, 2021

NIFTY & BANKNIFTY PREDICTION FOR TOMORROW 20 AUG 2021

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On Wednesday trade session, the Sensex climbed new life-time high of 56118 levels while Nifty touched it new all-time high of 16701 mark. The rally was well supported by inflows in large-cap stocks especially in IT sector. On Wednesday, August 18, the Sensex snapped its four-day record-breaking run to end lower by 162 points at 55629 and the Nifty declined 45 points, to close at 16568. The Sensex and Nifty are closed for trading today i.e. August 19 on account of Muharram. The currency markets will also be shut for the day. However, the MCX will be closed only in the morning session from 9 am to 5 pm. Normal trading will resume on Friday i.e. August 19. Markets traded highly volatile on account of weekly F&O expiry session and ended in the red. After opening in positive, the benchmark continued to trade on an optimistic note and touched new highs in the first half. However, as the day progressed markets pared all its gains and turned negative as investors’ choose to book profit in metals, financials and realty stocks. The market are awaiting the US Fed meeting minutes to provide some direction on future policy, which is expected to showcase its current accommodative policy in-line with the latest policy statement. The index faced some selling pressure and gave up its gains. However, the trend continues to remain positive and traders should use corrections like these to accumulate long positions. The Nifty has a good support at 16500 and until we do not close below this level, the momentum continues to be strong and bullish. On the upside 16700 will act as resistance. Banknifty which underperformed Nifty which lost more than 400 points and closed at 35554 on Wednesday 18 August 2021, has immediate support at 35350 & if it breaks this level then 35000- 34800 will be the next support level. On the upside 35700 will be the hurdle above which 35900 -36250 will act as a resistance level.

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Resistance: 16400, 16450, 16500

Support: 16300, 16250, 16200

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