Friday, December 3, 2021

NIFTY PREDICTION FOR NEXT WEEK 6 DEC TO 10 DEC 2021

WEEKLY RESISTANCE FOR NIFTY: 17200, 17500, 17700

PIVOT POINT: 17000

WEEKLY SUPPORT FOR NIFTY:  16800, 16600, 16400

WEEKLY CHART FOR NIFTY

DAILY RESISTANCE FOR NIFTY: 17100, 17200, 17300

PIVOT POINT: 17000

DAILY SUPPORT FOR NIFTY:  16900, 16800, 16700

DAILY CHART FOR NIFTY



After Friday’s mayhem, the global markets looked in a recovery mode and in line with this, the SGX Nifty too indicated a decent gap up by nearly 100 points. Our markets shrugged off this positivity and decided to start the week with nominal gains. In fact after this, we had a small bout of dramatic trades in our markets. During first 10 minutes, Nifty tanked nearly 300 points and immediately in next 10 mins, all losses just disappeared. After this, there was no major activity seen in key indices as they remained in a tight range to conclude the session around the opening levels. We had a muted start for the Tuesday in the absence of any major trigger on the global as well as domestic front. Immediately, the bulls geared up to lift market higher in the initial trades. Within first one and a half hour of the session, Nifty was back to 17300 with handsome gains. However, the global peers became nervous all of a sudden which resulted in a complete nosedive in our markets too. Within no time, it not only erased all gains but also managed to send Nifty slightly below the 17000 mark. This was followed by some consolidation with mild recovery; but once again the tail end correction poured complete water on this attempt to conclude the session below 17000 for the first time after August 30, 2021. Tuesday’s tail end correction was followed by a decent gap up opening in our market on Wednesday; courtesy to some cooling off in global market. The lead extended in the initial trade to hasten towards the 17200 mark. However after this Nifty remained in a band of nearly 100-120 points as we saw Nifty testing both ends (lower as well as higher) on a couple of occasions. Eventually, it ended in favour of the bulls as Nifty concluded the session above 17150 by adding more than a percent gains. Thursday Market ended higher for the second consecutive session on 2 December 2021 with Sensex gaining more than 700 points. At close, the Sensex was up 776 points at 58461, and the Nifty was up 234 points at 17401. Bulls held the upper hand today as Indices sprinted over a percentage led by the IT Index during afternoon trade. As the volatility index cooled off today, we witnessed stock-specific action across sectors in the broader markets buoyed by GDP & GST data together with cooling Energy prices. Advance - Declines showed a marked improvement today with most of the sectoral indices ending in the green. On Friday market broke the two-day winning streak and ended lower with Sensex closing below 58000 mark. At Close, the Sensex was down 764 points at 57696, and the Nifty was down 205 points at 17196.

NIFTY: A STRONG SUPPORT WILL BE @ 16800; STRONG RESISTANCE LEVEL SEEN @ 17500

Levels of 16800 and 17700  may act as an important support and resistance respectively. We can expect it to trade in the range of 17100-17500. Technical indicators also support positivity in the market.

TECHNICALLY SPEAKING

The index is currently trading within its resistance zone of 17100-17350. It would need to cross this level for a positive short term trend to emerge. Once that happens we could expect higher levels of 17600-17800. Until that does not happen, the bias continues to remain on the sell-side and traders should be watchful and cautious. If the market turns from here and breaks 17000, we would revisit the recent lows. Key point to highlight is that once again buying demand emerged after 10% correction. Thereby, maintaining the rhythm of not correcting for more than 9- 10% since May 2020, indicating structural bull trend is intact. Going ahead, we expect index to resolve higher and head towards 17600 as it is confluence of 50 days EMA coincided with 50% retracement of current decline (18210-16782). Nifty heading towards 17500 – 17700; but we reiterate, markets are not completely out of the woods yet and hence, it’s advisable to stay light after nearing this zone. On the flipside, 17200– 17000 are to be seen as weekly supports.

No comments:

Post a Comment