Market Outlook for 06th December 2024
Nifty Outlook 12 Jan 2023
Last Updated: 12th January 2023 - 11:32 am
Nifty traded within a range of 150 points ahead of the weekly expiry day, but it witnessed high volatility with moves on both sides within the range and finally it ended around 17900 with a marginal loss.
Nifty Today:
The index traded in a range but the intraday volatility was too high to manage for day traders. Recently, the index has traded within a range where 17800-17770 has acted as a support while the ’20 DEMA’ has been a resistance on pullback moves. The index is now close to the support end of the range and similarly the Banking index too is near its short term support. FII’s have been on the short side of late and they have been selling in the cash segment too which has been the main reason for the recent correction. In the options segment, 17800 put options have the highest open interest while 18000-18100 call option have good open interest outstanding. This indicates that traders are expecting the index to trade within this range and only a breakout beyond the same will lead to the next directional move. Traders are advised to avoid forming shorts at the support end and 17770 as reference levels for long positions. In next couple sessions, we could see the market giving clarity on the next directional move as there are important events such as CPI data in India and US lined up.
Nifty oscillates in a range, 17770 make or break level
The next directional move for Nifty will be seen only on a breakout beyond the above mentioned range and till then consolidation could continue. Traders are advised to trade with a stock specific approach for now and look to take positional bets only post a breakout on either side.
Nifty & Bank Nifty Levels:
|
Nifty Levels |
Bank Nifty Levels |
Support 1 |
17820 |
41870 |
Support 2 |
17770 |
41500 |
Resistance 1 |
17970 |
42460 |
Resistance 2 |
18050 |
42680 |
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