Outlook of Nifty 50 Amid its Record High

made an all-time high of 20,222.45, and we might see profit booking as last week’s buying volume decreased by 7% compared to the previous week. This week, Nifty opened at 19,890, reached a high of 20,222.45, a low of 19,865.25, and closed at 20,192.35, gaining 372.4 points. Nifty closed near its high, but the decrease in buying volume is likely to halt the upward trend in the coming week. Nifty has formed a Three White Soldiers bullish pattern, but it may not support the uptrend.

Last week, Nifty closed above its previous day’s levels, but in the range of 20,000 to 20,100, bears partially entered the bull’s territory, disturbing the uptrend. According to my article dated 11th September 2023, bears made a significant dent in the uptrend, causing a 196-point drop on an intraday basis on 12th September 2023, and this is now leading to profit booking on the downside. All major indicators and oscillators are in the overbought zone, where bulls are finding it difficult to hold their ground. On the daily chart, Nifty formed a bullish spinning top. and may also reverse from these levels. In the coming week, we might witness bears taking control over the bulls and turning the trend downside.

On Friday, Nifty gained 89.25 points, closing at 20192.35, where the uptrend is likely to come to a halt. Bulls will find it difficult to sustain at this level, and bears will take charge. Support will be found at 19,950-19,875 and Nifty will find resistance at 20,225-20,275.

Disclaimer: All views and analyses expressed here are for reference only. Specific trading involves a substantial risk for traders/investors must consider all risk factors of their personal finances before trading. Must consult your own investment adviser before making any trade. 

Source link

Leave a Reply

Your email address will not be published. Required fields are marked *