WEEKLY RESISTANCE FOR NIFTY: 16600, 16700, 16800
PIVOT POINT: 16475
WEEKLY SUPPORT FOR NIFTY: 16375, 16275,
16175
WEEKLY CHART FOR NIFTY
DAILY RESISTANCE FOR NIFTY: 16550, 16600, 16650
PIVOT POINT: 16500
DAILY SUPPORT FOR NIFTY: 16450, 16400, 16350
DAILY CHART FOR NIFTY
The journey of Sensex from 50,000 to 55,000 has been a
remarkable feat due to the fact that it took only 7 months for the Sensex to
rise 5,000 points.Sensex topped 50,000 mark for the first time on January 21,
2021, in intraday trade. After that it took just 10 sessions to hit 51,000 mark
on February 5, and 6 sessions to hit 52,000 mark on February 15.It took
slightly longer to rise for another 1,000 mark as that was the time when India
was witnessing the devastating second wave of the coronavirus pandemic.Sensex
took 85 session to rise from 52,000 to 53,000 on June 22, 2021. After another
30 seesions, Sensex was at 54,000 mark on August 4 and after just 7 sessions,
on August 13, Sensex hit the milestone of 55,000.As many as 31 stocks from the
BSE 500 index more than doubled during Sensex's journey from 50k to 55k while
three stocks - Happiest Minds Technologies, JSW Energy and Balaji Amines surged
between 207-281 %. Despite SGX
Nifty was indicating a sluggish start, our markets started the week on a
positive note. On the moday Nifty extended the lead by surpassing the 16300
mark. On Tuesday The Nifty was indicating a sluggish start early in the
morning; but once again we shrugged off these cues and opened with a small
upside gap. As the day progressed, the buying in some of the heavyweights
picked up, resulting in marking a new high of 16359 in Nifty. On Wednesday session
was a replica of Tuesday’s price action as we saw a positive opening first
which was then followed by some profit booking around the midsession. However
the latter half once again becomes the savior for the bulls. Market saw a smart
recovery. On Thursday the weekly expiry day, we kick started marginally higher
owing to favorable global cues. In the initial trades, market saw some mild
corrective move; but within few following minutes, things stabilized as the
market resumed it northward trajectory. In the remaining part of the session,
Nifty continued its gradual up move to register new all. Market rallied
1% hitting fresh record levels led by the IT, metal and FMCG names. At close,
the Sensex was up 593 points at 55437, and the Nifty was up 164 points at 16529.
NIFTY: A STRONG SUPPORT WILL BE @ 16300;
STRONG RESISTANCE LEVEL SEEN @ 16800
We can expect the next level
of the Nifty to be 16600-16700. Since the undercurrent is bullish and the
momentum is fierce, a buy-on dips approach can be implemented for higher targets
TECHNICALLY SPEAKING.
The bulls continued to
dominate as the benchmark indices scaled to new highs led by strength in IT
majors. The mood was upbeat from the beginning, thanks to favourable global
cues and supportive macroeconomic data viz. IIP and CPI inflation.. Amongst the
sectors, except Realty and Healthcare, all the other indices ended with gains.
The broader indices underperformed as both midcap and smallcap ended in the red.
Markets are taking comfort from the upbeat global markets and supportive
domestic cues amid the fear of a third COVID wave. However, we’re now seeing
restricted participation and expect the same trend to continue, at least in the
near future. We thus advise continuing with the “buy on dips” approach but
focus largely on index majors and select midcaps for long trades. The
market witnessed the continuation of the positive trend, after sustaining above
the level of 16350. The market has breached an important resistance level of 16550.
If the market sustains above the level of 16550, the market expects to gain
momentum, leading to an upside projection till 16750-16850 level. The momentum
indicators like RSI and MACD to stay positive and market breadth to improve,
further strengthening a short-term bullish outlook.
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