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Nifty

The bears appear to be in control of the market given the clear breaking of both the August lows and the 20-week EMA. Therefore, the 200-day exponential moving average (EMA) and the long horizontal resistance trendline are points to watch on the downside if the Nifty50 breaks 19,000 in the upcoming sessions. If there is a bounce back, the immediate resistance is 19,300-19430. Both its daily trend strength indicators entering their negative reading viz. ADX climbing further higher towards 28 while RSI falling further at 32 does not support any immediate reversal in trend strength. Options data saw a further shift in range towards its lower side with key highest put OI bound at 19000 while 19200-19300 saw heavy call writing zone which should act as a strong hurdle for the day. Expect the index to oscillate lower within the broader range of 19600-18850 while intermediate range stands at 19000-19300 for the week. Until we don’t see the index registering any reversal move or sustaining above 19600 its ideal to expect oscillation mode to continue with a negative bias. For the day 19000 remains a key support pivot below which the index could witness a quick move towards 18950-18850 while 19300 could act as a resistance zone

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