Market Outlook for 16 July 2024
Nifty Outlook - 30 Nov-2022
Last Updated: 8th December 2022 - 10:24 pm
Nifty continued its positivity amidst a rangebound trading session and rallied towards 18700 mark. However, the index gave up some of the gains towards the end and ended the day above 18600 with gains of three-tenths of a percent.
Nifty Today:
After testing the new all-time high in Monday’s session, the market participants continued their cheerful mood as the index shrugged off the negative global cues and continued its northwards momentum. However, the index traded within a narrow range amidst stock specific action. Now although the trend still continues to be positive, the momentum readings on the hourly time frame of Nifty and on the daily chart of BankNifty are in an overbought zone and such overbought set ups need to cool-off before gaining momentum again. Now for the readings to cool-off, the index could either see a time-wise correction or a price wise correction towards the supports. Hence, although the index is at an all-time high, one should not forget that the index has rallied from 16800-17000 range to over 18600 in a span of two months without any meaningful correction. Hence, one should not get complacent and rather look to book some profits and take some money off the table now. A ‘Buy on dip’ approach should be preferred in indices rather than chasing the upmove. The immediate support for Nifty is placed around 18485 while the ’20 DEMA’ support is placed around 18250. On the flipside, the immediate resistance for Nifty is seen in the range of 18700-18800.
Nifty continues its gradual upmove, but reaches overbought zone
Amidst sectoral indices, the FMCG Index gave a breakout from its consolidation phase led by heavyweight HUL. Stocks from this sector can see some short term outperformance and hence, traders can look for opportunities in stocks within this sector.
Nifty & Bank Nifty Levels:
|
Nifty Levels |
Bank Nifty Levels |
Support 1 |
18550 |
42900 |
Support 2 |
18485 |
42770 |
Resistance 1 |
18680 |
43235 |
Resistance 2 |
18740 |
43420 |
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