IGI Logo

Daily Technical View on Nifty

Market: Observation

• Markets ended with healthy gains on Wednesday. It was the third consecutive session of gains for the Nifty. The Nifty finally gained 203.15 points or 1.16% to close at 17,780. Broad market indices like the BSE Small Cap index gained more, thereby out performing the Sensex/Nifty. Market breadth was positive on the BSE/NSE.

Nifty: 15 min chart indicates uptrend intact

Zooming into 15 minute chart, we see that Nifty opened with an upgap and gradually climbed during the day with the 20 period MA providing support.

• The short term uptrend therefore remains intact and traders will need to watch if the Nifty can hold above the immediate support of 17674 for the near term uptrend to continue.

Nifty: Daily chart shows bulls are in control

• Daily chart indicates Nifty has reversed its recent downtrend as it has crossed the previous swing high of 17309 and has closed above 50 day SMA.

• The 14-day RSI too has made a higher bottom, bounced back and closed above its 9-day EMA.

• We therefore expect the Nifty to gradually move higher in the coming sessions. It is important that on any corrections, the short term trend reversal levels of 17244 hold.

To Read Complete Report & Disclaimer Click Here

Please refer disclaimer at https://www.hdfcsec.com/article/disclaimer-1795

SEBI Registration number is INZ000171337

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