Nifty Outlook for 25 Apr 2023

Nifty started trading for the day on a positive note and witnessed a positive momentum throughout the day. The stock specific move was robust led by the banking space and Nifty finally ended the day around 17750 with gains of about seven-tenths of a percent.

Nifty Today:

The markets have done well in the April month so far as the index rallied initially from 17200 to 17850 within a span of a few days. The index consolidated within a range in the last one week which just seemed to be a time-wise correction. The ’20 DEMA’ has acted as an important support which was not breached so far and the index has now resumed its short term uptrend as it surpassed the immediate hurdle of 17700. The broader markets witnessed a good stock specific action as most of the sectors (except Media and Pharma) ended in the green. In the derivatives segment, the stronger hands have covered short positions in the April series and have also added some long positions. In options segment, the call writers were seen covering their short positions while open interest addition was seen in 17770-17500 put options. The technical structure as well as the derivative data hints at probability of a short term upmove and hence, traders are advised to look for buying opportunities and trade with a positive bias. The immediate support level for Nifty is now placed around 17650 while positional support (20 DEMA) has now shifted to 17550. On the flipside, the index could rally towards 17850-17900 in next couple of sessions.

Charts and Derivative data hints at resumption of upmove

The momentum for the Banking and the NBFC stocks has been positive recently. The FINNIFTY index has continued its rally and is expected to continue its rally towards 19200. Hence, traders are advised to look for buying opportunities on any intraday declines on the expiry day. The immediate support range for FINNIFTY is in the range of 17850-17780.  

Nifty, Bank Nifty Levels and FINNIFTY Levels:

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