NIFTY WEEKLY OUTLOOK & OPTION CALL PUT TIPS FOR 8 MAY TO 12 MAY 2023

TO GET LIVE TRADING TIPS WHATSAPP YOUR NAME SEGMENT ON 9039542248 OR FILL THE FORM VISIT https://niftytipsniftylevels.blogspot.com/p/enter-mobile-number-for-2-days-trial.html

WEEKLY RESISTANCE FOR NIFTY: 18200, 18250, 18500

PIVOT POINT: 18100

WEEKLY SUPPORT FOR NIFTY:  17900, 17700, 17500

WEEKLY CHART FOR NIFTY

After a long weekend, we started the week on Tuesday 2nd May 2023 on a pleasant note thanks to a smart rally in US markets on Friday. In the early trades, we extended the move to challenge the 18200 level. However, due to a lack of conviction at higher levels, Nifty first slipped into a consolidation and a tiny profit booking was observed in the second half to eventually close the session with further gains of half a percent. US markets had a rough session Tuesday night, leading to a jittery start for most Asian bourses early Wednesday 3^rd may 2023 morning. We got off to a slow start too, but certainly not in the SGX sense. In the first hour, the benchmark corrected slightly to test the 18050 level; but a consolidation thereafter, with hints of a modest recovery towards the end, saw Nifty close in nominal losses. US markets reacted negatively on Wednesday night as the Federal Reserve hiked another 25 basis points. On Thursday 4 may 2023 morning, the SGX Nifty looked nervous; Most importantly, our markets started the session flat and, after initial hesitation, resumed their uptrend. Gradually we continued to climb throughout the day and with a tail gush the Nifty finally managed to top the 18200 stable wall with ease. Indian stocks fell on Friday 5 may 2023, erasing weekly gains, as financials weakened on falls in Housing Development Finance Corp and HDFC Bank and ongoing concerns over the US banking sector. The Nifty 50 closed 1.02% lower at 18069.

NIFTY: STRONG SUPPORT& STRONG RESISTANCE LEVEL

After the sharp rise in the last few days, Nifty is now consolidating around 18050-18250 zones. While the overall market structure remains positive, expect Nifty to consolidate in the near term on the back of subdued global cues and profit booking in index heavyweights. Next week market would also take cues from inflation, state election outcome and ongoing earning season.

 TECHNICALLY SPEAKING

We expect the Nifty 50 to consolidate after the recent rise on strong gains in the March quarter, but added that the monsoon would provide a key watchability near-term. If the monsoon is weak, it will cause markets to fall due to a negative impact on the country's predominantly agricultural economy and consumption. In the future, D-Street will focus on the macro trends. Future markets may be dominated by global news flows and actions by different governments to manage their economies. On the economic front, the US Federal Reserve hiked interest rates by 25 basis points but indicated that the rate hike cycle could be broken if the data remains supportive. Both DIIs and FIIs were net buyers for the week. Technically, the Nifty held the higher bottom formation on the daily and weekly charts, but on the weekly charts it has formed a hammer candlestick pattern that is largely negative. For traders, 18300 would be the key resistance zone, below that the market could retest the 17800 level. If corrected further, the index could slip as low as 17,800. On the downside, a new uptrend rally is only possible after the 18,200 shed. Beyond that, the market could rally as high as 18300-18500. Meanwhile, Bank Nifty formed a reversal formation after a strong uptrend rally last Friday. In the near term, as long as it trades below 43,400 the corrective wave is likely to continue and could slip to 42500-42,000. On the upside, it could climb above 43500 to 43,700-44000.

The securities quoted are for illustration only and are not recommendatory . Investment in securities market are subject to market risks. Read all the related documents carefully before investing. Registration granted by SEBI, membership of BASL and certification from NISM in no way guarantee performance of the intermediary or provide any assurance of returns to investors.