IGI Logo

NIFTY SMALLCAP 250 : 9041.75 weekly change (+0.55%)

Observation:

* Prices on a weekly charts are facing the resistance from the upper edge of the downward slopping channel while forming lower low, lower high pattern on swing basis.

* Prices have formed a Shooting Star Candlestick pattern on a weekly timeframe where it would be confirmed if we get to see close below the pattern low on a weekly basis.

* The daily timeframe has filled the Gap created on 17th August 2022, which confirms as an exhaustion gap.

* RSI plotted on the daily timeframe shows a negative reversal for the downside, which reflects that the positive momentum in the prices are loosing.

* NIFTY SMALLCAP 250, The view remains intact to what it was in the last month’s outlook that AVOID NIFTY SMALLCAP STOCKS for the time being.

Inference & Expectations

* Looking at the overall structure of the prices and the evidence provided by indicators we can infer that the texture of the trend is weak.

* Going ahead we expect prices to go below till the level of 8800 (Multiple touch point) followed by 8550 (Key Support)

* Our corrective view would be negated if we see prices sustaining above 9185 level.

NIFTY MIDCAP 150 : 11701.35 weekly change (+0.66%)

Observation

* On the Monthly chart of the NIFTY MIDCAP 150, we can spot that prices are around 5 months high which indicates that the prices have a bullish undertone in it.

* Prices showed a breakout from the channel which indicated a beginning of a trend. However, the Index has formed a Shooting Star Candlestick pattern in the last week.

* The confirmation of the Shooting Star candle pattern would be seen if the weekly price close is below the low of the pattern.

* On the last trading session, the NIFTY MIDCAP 150 Index has formed Bearish Engulfing candle pattern on the daily charts indicating profit booking has happened at higher levels and short term correction is due.

* RSI plotted on the daily time frame have given a bearish hinge at the overbought level which indicates that prices lack the positive momentum.

Inference & Expectations

* As per the overall chart pattern, the NIFTY MIDCAP 150 can have a minor correction in the prices in the short term.

* We expect the prices to go lower till its support of 11350(Multiple touch point) followed by 11000 (200 Day SMA).

* Our Corrective view shall be negated if we see prices sustaining above 11903 level (Weekly High).

To Read Complete Report & Disclaimer Click Here

Please refer disclaimer at  https://www.mnclgroup.com/disclaimer

SEBI Registration Number : INZ000043833

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