Channel Breakout of the trend is being tested. Recently Nifty on 10th April gave a channel Breakout. Since the negative channel upper limit was respected in last 4 months or so this breakout was a major first step towards up trend. Since it was a major breakout Nifty is trying to look back and test it's support zone before it can fly ahead. Major supports zones from where Nifty can re start the up trend again are:
Support Zone 1: 17618 (current level) to 17528.
Support Zone 2: 17424 to 17267. (A close below 17267 will make this current Channel Break out that Nifty saw on 10th April 2023 a failure).
Resistance Zone 1: 17690 to 17856.
Resistance Zone 2: 17856 to 18004.
Niftyindia
A major support zone got activated today. Market today saw tremendous selling in IT sector, Services and consumer goods. The market however saw a good recovery of about 132 points from bottom on the back of purchase in PSU, FMCG, Auto and some realty counters. Below the zone from where Nifty bounced today, that is 17574 which is near 50 hours EMA we will have supports near 17454 which is 200 hours EMA as well as mid channel support which is at the same level. The zone between 17529 and 17526 is again a major support as this zone has 50 and 200 days EMA. On the upper side we might face resistance near 17738 and 17782. The zone between 17847 and 17923 is a very strong resistance zone. We can have a range bound week or weeks unless there is some strong news or result which can either pull the index above 17923 or drag it below 17454 levels.
NIFTY GOING UP to 19000 BUCKLE UP FOR THE RIDE!!!
Price has started making Higher Highs which denotes an Uptrend, currently Price is giving a correction in the downward direction which again sigifies the Impulse Wave is in Uptrend and hence Uptrend is confirm.
Price has this Fresh Demand formed in The Daily chart which synchronises with the Weekly Demand as well, hence this is a Trade Zone in Daily with a minumum Risk 1 against the Reward of 13 makes this a favourable Reward to Risk ratio Trade,
The Target is derived as per the Fibonacci Extension considering the Wave 3 @ 1.618 Level which is Price 18948.15.
Cheers !!! Enjoy the Ride!!!
Spot Nifty At A Critical Juncture.Market Outlook
The Nifty is poised at a cross road and a critical resistance. Either it can defy the resistance and continue rising further or it can consolidate a bit in the range of 100/ 200 points on either side and consolidate it’s position. Nifty consolidating first and then rallying further will be more logical but Stock market is not the place which obeys reasoning and logic most of the times. Either it becomes too worried or it becomes too fearless and greedy. We investors try to find equilibrium and rationale in the place which often defies laws of consistency in the short term. In the long term everything works fine and falls in a deserving place.
Spot Nifty Resistance Zones: 17851, 18004, 18126 and 18267.
Spot Nifty Support Zones: 17780, 17713, 17532(Strong Short Term Support), 17311(Final Short Term Support).
Cup and Handle Formation in Nifty in Progress in the long run.Nifty Outlook: Nifty Looks good for a long haul in the long run. In the short term though Nifty seems a little bit of consolidation before it heads further. RSI on hourly chart shown a need of little bit of strength through consolidation. Which means we may see little bit sluggish end of the week tomorrow as Nifty is already in the resistance zone. This zone might not allow Nifty to escape the clutches easily. But if Nifty does escape this medium term resistance, It can fly ahead with even more power.
Medium Term Resistance zone: 17857 to 18100.
Long Term Resistances: Long Term resistances for Nifty lies at 18446 and 18887.
Medium term Supports: 17614 and 17314.
Long Term Supports: 16828 and 16520.
Long Term Targets for Nifty which it can reach within This year or by Second quarter of 2024 seems to be 19447 or on the upper side 20160. .
Nifty Facing Key Resistance Zone of 17700 to 17797 Nifty has reached the zone where the strength of current rally will be tested. The zone between 17700 and 17797 will be strong resistance zones for Nifty. Only if the rally has genuine strength it can cross this zone. If this resistance zone is crossed the next resistances will be at 17923, 18038 and 18137. Supports for Nifty remain at the levels of 17597, 17533, 17460. The strongest supports for the current rally will be and 17414 and 17363 which are 50 and 200 hours EMA. Below 17363 bears will snatch back the control of the market.
How much more Fizz left in the rally? The main question that is springing in every mind is that how much more Fizz is left in the rally? Is it a genuine back to bull market rally or should we consider it a relief rally only? We will know only if the critical resistance are crossed in the coming week/weeks.
Nifty Critical Resistances: 17639, 17720, 17804 (Major Resistance) ,18066, 18136, 18207 and finally 18292 (Major Resistance) .
Nifty Critical Support Zones: 17515, 17482, 17402, 17309 and finally 17210.
Nifty nearing a major resistance zoneNifty has come at the doorstep of Major resistance zone. This is the region between 17586 and 17812. This Zone is full of small and big resistances for Nifty. Momentum of Nifty is good but it will take some major effort in crossing this most important zone. In case this zone is crossed this week or later next week, the next resistance are near 17977 and 18125. Supports for Nifty are near 17514, 17478, 17417 and 17310. It is a critical day tomorrow as Friday we have very rare Second holiday of the week.
Market Outlook for 3rd to 7th April 2023. After consolidating for about 2 weeks Nifty Finally had a shackle breaking close to the week and month in the last couple of days where momentum totally changed and both FIIs and DIIs turned buyers simultaneously. While the closing of Nifty is good, a major resistance zone of 50 and 200 days EMA between 17478 and 17515 is there to be crossed. If this zone is crossed there will be another major resistance near 17618 which will be tough to cross. If we are able to cross 17618 Nifty will face a trend line channel top resistance near 17817. Bulls can be in full control only after these zones are crossed. Supports on the lower side now remain at 17300, 17204 and 17080. Let us hope that bulls can carry the momentum through to the next month and next financial year.
Sandwiched between Support and Resistance with positive biasNifty is perfectly sandwiched between strong support and strong resistance but the bias which was negative for most of March is fading. It is a very very critical day tomorrow. Nifty has already closed on Wednesday above a critical resistance of 17060 giving it a positive bias. Now the most critical resistances that remain to be conquered are 17137 and 17261. Above 17261 Nifty can race to 17408 levels where there is another critical resistance and that a big one of 200 Weeks EMA. Nifty closing the month above 17137 will be great for momentum to be carried forward to April 2023. If Nifty can close above 17261 it can be a momentum shift and Bulls can think of making a come back in April in that case. Strong Support on the lower side remain at 16825 levels.
So What is happening in Nifty? What to expect this week?Certainly the global headwinds in banking and inflation are rocking the markets all over the world. India with strong economic momentum is a bright spot in global economy but it is still feeling the effect and can continue to feel so in the short to medium term context. In the long run Indian story certainly looks at good valuation. As soon as US Fed signals for a Pause Indian indices will certainly pick up the lost momentum and range bound trading sessions.
The pattern that is forming right now on Nifty is called Base Formation pattern and certainly in past whenever we have seen such patterns we see a 500 to 1000 point rally. At times the base formation pattern fails too and goes for further consolidation at a step below. The step below in this case can be 16747 level if this base breaks or 16347 level as we can read the chart right now.
In case of taking off from this base the major resistance can be near 17543/17532 levels where we have 50 and 200 days EMA. If these levels are crossed the next resistance can be 18170 to 18260 range. If Nifty launches from here the relief rally can be seen. Next week and monthly closing above 50/200 EMA is required for rally to become significant in any way.
Great Fightback by the Nifty in last 90 - 100 MinutesLast 2 hours today saw Nifty forming a bottom near 16828 that was the low of the day and making a pretty solid comeback. The momentum can lead us to open in positive and as US and other Global markets are supporting possibly Gap up opening tomorrow. If Nifty can sustain above 17061 tomorrow and move above 17142 tomorrow or later in the week. We can see a relief rally towards in the 17540 and 17650. 17221 and 17323 will be other important resistance points in this upmove. If Nifty can't sustain and close above 17061 we might be looking towards another dip towards 16900, 16850 or 16747. FOMC meeting of US FED on Wednesday will be the game changer for end of the month. Let us see if we have a marvelous ending of March or Melancholy March.
Good Solid Support taken, Nifty can see some short covering. Good solid support taken by Nifty today near 16850. Closing was well above the level and Nifty closed at 16985. This indicates we can see some nice short covering tomorrow. There can be some selling pressure later in the day. To continue the momentum into the next week Nifty has to close the day above 17062.5 that was the high of today. 17211 and 17411 will be the resistances. Support remain at 16850 and 16747. Hopefully tomorrow we will see some cracker works...after some continuous selling. if 17062.5 is taken down cleanly.
Divergence on RSI will try to drive Nifty upwardsThere is a divergence formed in RSI in the last one hour during todays fall. Indicating that we may see positivity today. Nifty may end in Green territory if there is no further bad news from US. 17258 and 17355 will be important resistances. Followed by 17488 which is the 50 EMA. Supports are at 17113, 16952 and 16745. The last 2 only if there is some further major bad news. Otherwise 17113 and 17017 are pretty solid supports.
Weak Nifty not able to cross 50 EMA despite multiple attempts.Nifty today barely took support at 200 days EMA. In the closing hours Nifty was weak and it will be difficult for Nifty I think to hold on to this level tomorrow. Three expected support zones for Nifty in the coming days can be 17512, 17353 and Finally 17253. Nifty not able to cross 50 Days EMA after multiple attempts can not be considered a good sign. 17800 remains a ver formidable resistance as of now befores Bulls can sniff a chance.
Nifty ended the day just below 200 Hours EMA.The rampant run that Nifty started after making a base near 17255 has seen it make a high of 17799 and correct from there to close below 200 Hour's EMA at 17711(200 Hour's EMA is at 17716). Close above 17716 would have been great for the momentum to continue. Now that Nifty has closed below 200 Hour's EMA, Nifty probably will need a support to start next leg of Bull run. If by chance due to global factors Nifty can open with a gap above 200 Hour's EMA it can continue the bull run again with same momentum. Hourly RSI is at 65.7 which has corrected from 3 weeks high of 74.83. This also indicates need of little bit of consolidation before further bull run. Current squeezing pattern indicates peak 18100 or 18400 if the momentum continues.
Important Supports: 17681, 17559, 17435 and finally 17255.
Important Resistances: 17716, 17802, 17923 and finally 18007.
support zone established can Nifty fly again tomorrow?Looks like Nifty found a good support again today near 17306 range. If Nifty can hold it tomorrow certainly it can again try to leap ahead tomorrow.
Important Supports: 17306, 17259 and finally 17103.
Important Resistances: 17469 (Tough One To Conquer) and equally tough resistance of 17582.
lot of resistance to cross before bulls can sniff a chanceLot of resistances ahead for Nifty to cross. Today was just a good beginning today. May be there will be some consolidation tomorrow.
The supports for Nifty are near: 17393, 17352 and 17255.
The Resistances for Nifty are near: 17468, 17520, 17553 and finally 200 days EMA at 17584.
Nifty in most critical support zone. Nifty is looking weak and desolate. Volumes have dried and important supports have been broken. Usually rallies and up moves happen only at the times when no one expects them to happen. The good thing right now is Nifty is respecting the support zone near 17252 and 17353. As long as the last for is held we can look for a positive move to happen as Nifty Relative Strength Index is indicating an up-move. RSI is at the level which is as low as September 2022.
Nifty Supports: 17353, 17252 (Important Fibonacci Support) and finally 16747.
Nifty Resistances: 17565 to 17586 (Strong resistance) (200 days EMA and Fibonacci level resistance). Above this zone important resistance will be 50 days EMA at 17864.
Nifty Approaching Major Fibonacci Support. Nifty is near a major fibonacci support of 17252. This is the place from where it can turn positive. In case this level is broken the next support for Nifty will only be at Fibonacci levels of 16747. RSI on Nifty is also entering the zone from where it normally it can bounce. Relative Strength Index is around 31.35 on daily charts. Last time it was at similar or lower levels only in June 2022. The indications are that Spot Nifty has entered the oversold territory. Expecting a proper bounce or temporary bounce soon. For Educational Purpose only.
Nifty declining in the squeezing triangle, needs strength. Nifty has been declining within the squeezing triangle needs to gather all the strength available and jump above 17591 first and 17776 to be back in neutral zone. Currently it is in the bear zone or negative territory. Above 17921 will be a trend change and above 18116 nifty will be in positive energetic territory. Bulls can take over only after closing above 18266.
Going and closing below 17353 will be opening proper hell gates for the bears who can take the Nifty to 17104 or further sub 17K levels near 16900 or 16751. (Reaching here is very unlikely for now).
RSI of Nifty is slowly starting to enter a zone from where usually buying starts..