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Bullish sectoral index

Nifty Energy : 25304.80 weekly change (+1.20%)

Observation

* NIFTY ENERGY on long term charts is moving with higher highs and higher lows formation.

* The index is continuously taking support at it’s 20 week SMA and moving higher.

* The Index is on the verge of a 5 months long consolidation breakout.

* RSI plotted on the weekly timeframe has given a range shift and is sustaining above the 50 mark since Oct 2020.

Inference & Expectations

* The NIFTY ENERGY is on a verge of a breakout of a Ascending Triangle pattern .

* The prices action and the technical parameters mentioned above point towards the possibility of mid-term bullish momentum to continue.

* Going ahead we expect the prices to head towards the 28734 (38.2% Fibonacci extension) and a break above which can take the Index to 29000 ( Height Target).

* On the flip side if the prices dip below 24000 it can again enter into a consolidation phase.

NIFTY Realty : 450.75 weekly change (+4.78%)

Observation

* Post the recent correction from the highs of 560.90 the Nifty Realty took support at its 38.2% Fibonacci retracement (160-560).

* There is also a CIP formation (Change in Polarity) at the 400-405 zone and the index has bounced sharply from the same levels.

* On the daily charts the index has given a breakout of a Inverse H&S Pattern.

* The RSI indicator on weekly timeframe is showing sign of a positive reversal indicating bullish momentum.

Inference & Expectations

* NIFTY REALTY is moving higher after a correction.

* The price action on short and the medium term charts suggests that there is a possibility of an upside from current levels.

* We expect that the prices can move higher towards 480 (20 week SMA) followed by 525 levels (Swing High).

* Going ahead 420 will act as a strong support for the index

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