Nifty Technical Outlook
Based on Market Closing on Wednesday, December 11, 2024
The Nifty index closed at 24,641.80, gaining 31.75 points or 0.13% in the preceding session. For the bullish momentum to persist, the index must break above the 24,700 resistance level.
In Wednesday's session, the index opened positively at 24,620.05 and tested an intraday high of 24,691.80. However, it traded sideways for the rest of the session, closing near its opening levels. Among sectors, FMCG, auto, IT, and realty were the top gainers, while media, banks, and financial services lagged. Market breadth was marginally positive, with 1,389 stocks advancing, 1,244 declining, and 157 remaining unchanged. The top Nifty gainers included TRENT, BAJFINANCE, BRITANNIA, and SHRIRAMFIN, while JSWSTEEL, ADANIPORTS, NTPC, and SBIN were the major laggards.
Technical Insights: Momentum indicators suggest a positive trend as the Nifty remains above its short-term moving averages. The formation of a small white candle on the daily chart and a close above the previous day's level indicates bullish strength. Over the last five trading sessions, the index has consolidated above its critical support at 24,500. Sustaining above this level is crucial for maintaining the positive trend.
The Nifty exhibits a cautiously optimistic outlook, supported by favorable technical indicators and robust market breadth. While short-term consolidation above 24,500 reinforces positive sentiment, a breakout above 24,700 could signal further upward movement toward 25,000 and beyond. Traders should monitor key levels closely and adopt a strategic approach, balancing resistance challenges with support stability.
Intraday Levels: Support - 24600, 24500, 24425 Resistance - 24700, 24775-24850(15-Minute Charts)
Positional Trading: Short-term support - 24500 -23800 Resistance - 25000- 25500.
Bank Nifty Technical Outlook
Based on Market Closing on Wednesday, December 11, 2024
Bank Nifty ended the preceding session at 53,391.35, declining by 186.35 points. Despite the loss, technical indicators still reflect a positive trend, as the index remains above its short-term and long-term moving averages. However, the formation of a small black candle on the daily chart, coupled with a close below the previous day's level, signals a mild negative bias.
Bank Nifty's technical outlook reflects a mixed sentiment, with consolidation continuing below the 53,850 resistance level. While the broader trend remains positive, the small black candle indicates a cautious approach is warranted in the near term. For the bullish trend to regain strength, the index must decisively cross 53,850. Until then, traders should remain vigilant and focus on key support and resistance levels to guide their intraday and positional strategies effectively.
The index has immediate support at 53,300 on an intraday basis. A breakdown below this level may invite further weakness, with support at 53,100 and 52,900 coming into play. Conversely, sustained buying interest above 53,600 and a breach of 53,850 could pave the way for an upward move toward 54,500.
As indicated by the 15-minute charts, intraday traders' support levels are at 53300, 53100, and 52900, while resistance levels are at 53600, 53850, and 54050.
Positional traders should watch short-term support at 52750–51750, with resistance at 53850–54500.
