The NIFTY 50 Index is currently trading at 22,142.50, maintaining a marginal gain of +24.90 points (+0.11%) amid ongoing bearish pressure. Despite the small recovery, the overall market structure remains weak, with multiple Break of Structure (BoS) confirmations highlighting a sustained downtrend.
The price action in recent sessions has been heavily influenced by institutional liquidity sweeps. The Break of Structure (BoS) and Change of Character (CHoCH) signals indicate that sellers remain dominant, dragging the price lower into the discount zone, where potential buying interest may emerge.
Key observations:
Fibonacci & Equilibrium Levels:
Key Zones & Possible Scenarios:
The ongoing bearish trend suggests that any bounce should be viewed cautiously unless structural confirmation occurs. With price still trading within the discount zone, a liquidity grab could occur before a meaningful reversal. Monitoring key Fibonacci retracement levels and Smart Money Concepts (SMC) signals will be crucial for identifying the next major move.
The price action in recent sessions has been heavily influenced by institutional liquidity sweeps. The Break of Structure (BoS) and Change of Character (CHoCH) signals indicate that sellers remain dominant, dragging the price lower into the discount zone, where potential buying interest may emerge.
Key observations:
- Multiple Bearish Engulfing (BE) signals appearing at supply zones confirm that institutional sellers are actively offloading positions.
- A strong downtrend with Lower Lows (LL) and Lower Highs (LH) suggests continued weakness unless a major reversal is triggered.
- The 90th percentile liquidity sweep on February 28 led to a significant breakdown, taking price deeper into the discount zone, where buyers are attempting to stabilize.
Fibonacci & Equilibrium Levels:
- 0.236 Level (~22,142.50): Currently acting as short-term support; a breakdown here could accelerate further declines.
- 0.382 Level (~22,200 - 22,250): This level aligns with the area of interest and may act as a rejection point if price attempts a relief rally.
- 0.5 Level (~22,300): Considered an equilibrium zone; price needs to reclaim this for bullish momentum to strengthen.
- 0.618 - 0.786 Levels (~22,500 - 22,600): The premium zone where major supply sits. If price reaches this area, expect strong resistance.
Key Zones & Possible Scenarios:
- Bearish Case: If price fails to hold 22,142, the next major support sits near 21,900 - 21,860, which aligns with strong liquidity levels. A move below this would indicate a deeper sell-off.
- Bullish Case: If price sustains above 22,142 and clears 22,200, buyers could push it toward the 22,300 - 22,500 range, where a fresh supply test will determine the next trend.
The ongoing bearish trend suggests that any bounce should be viewed cautiously unless structural confirmation occurs. With price still trading within the discount zone, a liquidity grab could occur before a meaningful reversal. Monitoring key Fibonacci retracement levels and Smart Money Concepts (SMC) signals will be crucial for identifying the next major move.
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Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.