NIFTY TECHNICAL OUTLOOK

Based on Market Closing on Thursday, May 02, 2024

In the previous trading session, the Nifty concluded at 22648.20, marking a gain of 43.35 points or 0.19 percent. The positive inclination is anticipated to persist if the Nifty continues to trade and maintain levels above the intraday support at 22625.

In the last trading session, the Nifty opened at 22567.80  level on a negative note. Then the index gradually rose and tested the intraday high of 22750.10 and finally closed at 22648.20.    The major sectoral gains were observed in auto, metal, pharma, and FMCG, while the media, bank, and realty sectors experienced losses. Market breadth leaned towards negativity, with 1178 stocks rising, 1272 falling, and 152 remaining unchanged. Among the top gainers in the Nifty were BPCL, POWERGRID, ASIANPAINT, and BAJAJ-AUTO, whereas major losers included KOTAKBANK, TATACONSUM, BHARTIARTL, and AXISBANK.

From a technical perspective, the Nifty maintains its position above both short-term and long-term moving averages, with momentum indicators signaling a positive trend. Additionally, a white candle formation on the daily chart, coupled with closing above the previous day's close, suggests the potential continuation of the uptrend. On the lower side, the index has intraday support at 22625. Sustained trading above this level could reinforce the positive trend for the day. The nearest intraday resistance is at 22700 levels.

Intraday Levels: Support - 22625, 22550, 22450 Resistance - 22700, 22775-22850 (15-Minute Charts)

Positional Trading: Short-term support - 22250-22700 Resistance - 22775-23250

BANK NIFTY

In the preceding trading session, Bank Nifty closed at 49231.05, marking a loss of -165.70 points. Technically, momentum indicators signal a positive trend, with the index maintaining its position above both short-term and long-term moving averages. However, a Doji candle formation on the daily chart, coupled with closing below the previous day's close, suggests a slightly negative bias.

On the upside, the index faces short-term resistance at the 49500 level. A closure above this level could potentially reignite the bullish trend. Conversely, failure to surpass this level may lead to consolidation below it for a few days.

For intraday traders, support levels are identified at 49100, 48775, and 48400, while resistance levels can be observed at 48400, 49670, and 50000, as indicated by the 15-minute charts.

Positional traders should monitor short-term support levels at 48500-47000, with resistance at 49500-50500.