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Nifty

Nifty started the week on a flat note abd buying momentum throughout the week led it close on a positive note. Nifty closed at 17833 with a gain of 294 points on a weekly basis.

On the weekly chart the index has formed a long bullish candle forming higher High-low comapre to previous week and has closed above previous week's high indicating positive bias. The index is moving in a Higher Top and Higher Bottom formation on the weekly chart indicating positive bias. The chart pattern suggests that if Nifty crosses and sustains above 18000 level it would witness buying which would lead the index towards 18100-18400 levels. However if index breaks below 17600 level it would witness selling which would take the index towards 17500- 17300. Nifty is now well placed above its 20, 50, 100 and 200 Day SMA indicating positive bias in the short term. Nifty continues to remain in an uptrend in the medium term, so buying on dips continues to be our preferred strategy. For the week, we expect Nifty to trade in the range of 18400-17400 with a positive bias.

The weekly strength indicator RSI is above its respective reference lines indicating positive bias.

The trend deciding level for the day is 17850. If NIFTY trades above this level then we may witness a further rally up to 17910-17990-18050 levels. However, if NIFTY trades below 17850 levels then we may see some profit booking initiating in the market, which may correct up to 17770-17710-17630 levels.

Banknifty

Bank Nifty started the week on a flat note but continued its previous week's positive momentum to end the week on a strong note. Bank Nifty closed at 40416 with a gain of 995 points on a weekly basis.

On the weekly chart the index has formed sizable bullish candle forming higher High-Low comparered to previous week indicating positive bias. The index is moving in a Higher Top and Higher Bottom formation on the weekly chart indicating positive bias. The chart pattern suggests that if Bank Nifty crosses and sustains above 40700 level it would witness buying which would lead the index towards 41200-42000 levels. However if index breaks below 40000 level it would witness selling which would take the index towards 39500-39000. Bank Nifty is trading above 20, 50,100 and 200 day SMA's which are important short term moving averages, indicating positive bias in the short to medium term. Bank Nifty continues to remain in an uptrend in the short term, so buying on dips continues to be our preferred strategy. For the week, we expect Bank Nifty to trade in the range of 42000-39500 with a positive bias

The weekly strength indicator RSI is moving upwards and is quoting above its reference line indicating positive bias.

The trend deciding level for the day is 40460 If BANKNIFTY trades above this level then we may witness a further rally up to 40640-40865-41045 levels. However, if BANKNIFTY trades below 40460 levels then we may see some profit booking initiating in the market, it may correct up to 40235-40055-39830 levels.

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