IGI Logo

Nifty

Nifty opened with a downward gap and traded with positive bias in initial hours however selling pressure throughout the session led it to close near the day's low. On 24th May, Nifty closed at 18285 with a loss of 63 points.

On the daily chart the index has formed a bearish candle with a long upper shadow indicating selling pressure as well as resistance at higher levels. The index continues to move in a Higher Top and Higher Bottom formation on the daily chart indicating positive bias in a medium term. The chart pattern suggests that if Nifty crosses and sustains above 18350 level it would witness buying which would lead the index towards 18400-18500 levels. Important Support for the day is around 18200 However if index sustains below 18200 then it may witness profit booking which would take the index towards 18100-18000 levels.. Nifty is trading above 20, 50, 100 and 200 day SMA indicating positive bias in the short to medium term. Nifty continues to remain in an uptrend for the short term, so buying on dips continues to be our preferred strategy.

The daily strength indicator RSI is moving downwards and is quoting below its reference line indicating profit booking

The trend deciding level for the day is 18315. If NIFTY trades above this level then we may witness a further rally up to 18365-18445-18495 levels. However, if NIFTY trades below 18315 levels then we may see some profit booking initiating in the market, which may correct up to 18235-18185-18105 levels.

Banknifty

Banknifty opened with a downward gap and traded with positive bias in initial hours however selling pressure throughout the session led it to close near the day's low. On 24th May, Banknifty closed at 43678 with a loss of 277 points.

On the daily chart the index has formed a small bearish candle with upper shadow indicating selling pressure as well as resistance at higher levels. The index continues to move in a Higher Top and Higher Bottom formation on the daily chart indicating positive bias in a medium term. The chart pattern suggests that if Nifty crosses and sustains above 43850 level it would witness buying which would lead the index towards 44000-44100 levels. Important Support for the day is around 43500 However if index sustains below 43500 then it may witness profit booking which would take the index towards 43400-43300 levels. Banknifty is sustaining above its 20, 50, 100 and 200- day SMA which signals bullish sentiments in near term. Banknifty continues to remain in an uptrend in the medium and long term, so buying on dips continues to be our preferred strategy.

The daily strength indicator RSI is moving downwards and is quoting below its reference line indicating profit booking.

The trend deciding level for the day is 43775. If BANK NIFTY trades above this level then we may witness a further rally up to 43910-44145-44285 levels. However, if BANK NIFTY trades below 43775 levels then we may see some profit booking initiating in the market, which may correct up to 43540-43405-43170 levels.

To Read Complete Report & Disclaimer Click Here

For More Axis Securities Disclaimer  https://simplehai.axisdirect.in/disclaimer-home

SEBI Registration number is INZ000161633

Views express by all participants are for information & academic purpose only. Kindly read disclaimer before referring below views. Click Here For Disclaimer