IGI Logo

Nifty

Nifty started the week on a negative note but witnessed buying at lower levels to end the week on a positive note. Nifty closed at 17354 with a gain of 350 points on a weekly basis.

On the weekly chart the index has formed a long bullish candle forming higher High-low compared to previous week and has also closed above the same indicating positive bias. The index is moving 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 17400 level it would witness buying which would lead the index towards 17600-17800 levels. However if index breaks below 17150 level it would witness selling which would take the index towards 17000-16800. Nifty is trading above 20 day SMA's which is an important short term moving average, 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 17600-17100 with a positive bias.

The weekly strength indicator RSI is below its reference line while the daily RSI has turned bullish indicating rising strength

The trend deciding level for the day is 17330. If NIFTY trades above this level then we may witness a further rally up to 17425-17495-17585 levels. However, if NIFTY trades below 17330 levels then we may see some profit booking initiating in the market, which may correct up to 17260-17170-17100 levels

Bank Nifty

Bank Nifty started the week on a negative note but witnessed buying at lower levels to end the week on a strong note. Bank Nifty closed at 35482 with a gain of 625 points on a weekly basis.

On the weekly chart the index has formed a bullish candle forming higher High-low compared to previous session indicating positive bias. The index is moving in a Higher Top and Higher Bottom formation on the daily chart indicating short term up trend. The chart pattern suggests that if Bank Nifty crosses and sustains above 35600 level it would witness buying which would lead the index towards 36000-36500 levels. However if the index breaks below 35100 level it would witness selling which would take the index towards 34700-34200. On the daily chart, Bank Nifty is now sustaining below its 50, 100 and 200 day SMA indicating negative bias in the short term. Bank Nifty continues to remain in a downtrend in the short to medium term, so selling on rallies continues to be our preferred strategy. For the week, we expect Bank Nifty to trade in the range of 36600-34700 with a positive bias.

The weekly strength indicator RSI is moving downwards and is quoting below its reference line indicating negative bias. However on the daily chart, it has turned bullish representing bounce back rally.

The trend deciding level for the day is 35395 If BANKNIFTY trades above this level then we may witness a further rally up to 35680-35880-36165 levels. However, if BANKNIFTY trades below 35395 levels then we may see some profit booking initiating in the market, it may correct up to 35200-34915-34715 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