IGI Logo

Nifty

Nifty opened with an upward gap and remained lackluster within a narrow trading range throughout the day. On 9th May, Nifty closed at 18266 with a gain of 2 points.

On the daily chart the index has formed a small Bearish candle with shadows on either side indicating indecisiveness amongst participants regarding the direction. The index continues to move in a Higher Top and Higher Bottom formation on the daily chart indicating positive bias. The chart pattern suggests that if Nifty crosses and sustains above 18300 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 upwards and is above its reference line indicating positive bias.

The trend deciding level for the day is 18280. If NIFTY trades above this level then we may witness a further rally up to 18330-18395-18445 levels. However, if NIFTY trades below 18280 levels then we may see some profit booking initiating in the market, which may correct up to 18215-18165-18100 levels.

Banknifty

Banknifty opened on a positive note and extended buying momentum in the first half however profit booking in the second half led the index to close on a negative note. On 9th May, Banknifty closed at 43198 with a loss of 86 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. The chart pattern suggests that if Nifty crosses and sustains above 43300 level it would witness buying which would lead the index towards 43500-43600 levels. Important Support for the day is around 43100 However if index sustains below 43100 then it may witness profit booking which would take the index towards 43000-42900 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 continue to remain flat and is below its reference line indicating absence of momentum on either side

The trend deciding level for the day is 43285. If BANK NIFTY trades above this level then we may witness a further rally up to 43445-43695-43855 levels. However, if BANK NIFTY trades below 43285 levels then we may see some profit booking initiating in the market, which may correct up to 43040-42880-42630 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