Trying on the charts from smaller to bigger time frames, the general pattern of Nifty stays optimistic. With the value at round 24400 (1.618% Fibonacci extension), this consolidation/slight downward pattern is more likely to proceed within the coming periods. Rapid help is on the 10-day transferring common of 23,990, indicating Nagaraj Shetty of HDFC Securities.
Nifty noticed robust name possibility writing on the 24,400 strike value and robust put possibility writing on the 24,300 strike value, which saved the index inside vary all through the day. Put possibility writers strengthened their positions on the 24,000 and 24,200 strikes in Nifty.
What ought to merchants do? This is what analysts need to say:
Kunal Shah, LKP Securities
On expiry, Nifty was consolidating at increased ranges however ended up buying and selling above 24,200 ranges. Excessive-end resistance is at 24,500, with bulls establishing most open curiosity. A breakout of this degree might result in a brand new upward transfer. The decrease help is positioned within the 24200-24150 level space. A decisive fall under this degree might result in additional promoting stress to the 24000-23800 level degree.
Shrikant Chouhan, Head of Fairness Analysis, Kotak Securities
After the present promising uptrend bounce, the market is witnessing increased ranges of non-directional exercise and maybe merchants are ready for a breakout on both aspect. For day merchants now, 24400/80390 could be the speedy breakout ranges. Above this, the market might rebound to 24500-24525/80700-80800. However, under 24280/80000, market sentiment might change. Beneath this degree, the market might retest the 24200-24165/79700-79550 ranges.
Jatin Qaidya, Shahr Khan
On the each day chart, we are able to observe that Nifty has reached the 24370-24500 zone, which coincides with the 150% Fibonacci retracement degree of the earlier decline and might act as resistance from a short-term perspective. Moreover, the damaging divergence and bearish crossover on the hourly momentum indicator point out a lack of upside momentum. So we anticipate some consolidation going ahead. Aggressive lengthy positions must be prevented, and lengthy positions ought to keep a trailing cease lack of 24,200 factors.
(Disclaimer: The recommendation, options, views and opinions given by consultants are private and don’t signify the views of The Financial Instances)
