Thursday, August 25, 2022

NIFTY OUTLOOK & OPTION CALL PUT TIPS FOR 26 AUG 2022

GET SOME LIVE CALLS ON WHATSAPP DIRECTLY FOR OPTION FUTURE CASH NIFTY ANY SEGMENT... FOR MORE DETAILS JOIN US ON WHATSAPP 9039542248

Amid heightened volatility, investors reduced their long positions on the F&O expiry date due to the uncertain global economic scenario. There are concerns that Federal Reserve Chairman Jerome Powell's speech at Friday's Jackson Hole symposium would focus on further rate hikes to curb inflation. Also, the benchmark indices have been close to slipping into negative zones in the last two sessions and hence the correction has been on the expected lines. On a monthly expiration, the Nifty opened on a green note, hitting an intraday high of 17726, but in the last hour of the session saw profit booking from a higher level, closing at 17522 for a loss of 82 points. Ahead of the Jackson Hole symposium, investors around the world are eagerly awaiting the Fed Chair's speech to assess the outlook for monetary policy and whether the central bank can achieve a soft landing for the economy. Benchmark indices ended the highly volatile session lower by 17500 with Nifty. At the close, the Sensex was down 310 points to 58774. Crude oil prices rose as Saudi Arabia suggested OPEC+ supply could be reduced to counter market instability. Although Indian equities are trading at a premium to other emerging markets, consistent support from FIIs is guiding the domestic market. The Bank Index saw selling pressures from higher levels and failed to clear the 39,500 hurdle to the upside. Immediate downside support lies in 38500-38400 area and if broken will result in further selling pressure on the downside. Index needs to break 38,500-39,500 range for crucial trend moves either side.

On the technical front, the Nifty encountered resistance from the 17700 zone and showed offer, resulting in a bearish candle on the daily timeframe, indicating weakness in the counter. Additionally, Nifty has made a breakdown of the rising trend line, giving weakness to the price. In Open Interest (OI) data, the top was observed at 17700 on the call side, while the top was at 17400 followed by 17200 on the put side. The momentum indicator Stochastic was trading with a negative crossover on an hourly time frame, which is suggesting weakness in the meter. levels. Overall, sector specific momentum can be seen as PSU Bank & Realty shares are looking good for the upcoming session. Technically, the lower top formation on the intraday charts and the bearish trend reversal candle on the daily charts suggest further correction from the current levels. Nifty formed an engulfing pattern after two days of positive movement and set the stage for a bearish reversal. The momentum indicator RSI also points to negative momentum in the short term. On the downside, 17450 should act as initial support; a drop below 17450 could take the index towards 17400. Below 17400 the Nifty could drift towards 17300-17100. On the upper end, resistance is seen at 17600. On the other hand, Bank Nifty has support at 38500 while resistance lies at 39500.

Resistance: 17900, 17950, 18000

Support: 17800, 17700, 17600 

No comments:

Post a Comment