Nifty Technical Outlook

Market Closing on Friday, October 18, 2024

In the last trading session, Nifty closed at 24,854.05, gaining 104.20 points, or 0.42%. A continuation of this positive bias is likely if the index trades and sustains above the intraday resistance level of 24,900.

Nifty opened on a negative note at 24,664.90 and touched an intraday low of 24,567.70 during the morning session. However, the index gradually recovered, reaching an intraday high of 24,886.20 before closing at 24,854.05. Most sectors ended with a positive bias, except for IT and FMCG. The biggest sectoral gainers were banking, metals, financial services, and media. Market breadth was negative, with 1,172 stocks advancing, 1,477 declining, and 96 remaining unchanged. The top Nifty gainers were Axis Bank, Wipro, Eicher Motors, and ICICI Bank, while the biggest losers were Infosys, Asian Paints, Britannia, and Nestle India.

Technical Analysis
Momentum indicators still signal a negative trend, with Nifty trading below its short- and medium-term moving averages. However, the formation of a white candle on the daily chart, along with a close above the previous session’s level, indicates a slight positive bias. On the downside, Nifty has intraday support at 24,800, while resistance stands at 24,900. The Nifty's positive momentum may continue if it sustains above the 24,900 resistance level, with potential for further gains. However, technical indicators still reflect some caution as the index remains below key moving averages. A break below the 24,800 support could shift the trend to bearish. Traders should watch these key levels closely for intraday and positional strategies.

Intraday Levels  Support: 24,800, 24,700, 24,600 Resistance: 24,900, 25,000-25,100 (based on 15-minute charts)

Positional Trading Levels  Short-term Support: 24,500 - 24,000 Resistance: 25,250 - 25,800

Bank Nifty Technical Outlook

In the previous trading session, Bank Nifty closed at 52,094.20, posting a significant gain of 805.40 points. While momentum indicators suggest a negative trend, the index managed to close above its short-term moving averages. Additionally, the formation of a white candle on the daily chart and a close above the key resistance level of 52,000 signal the potential for a continued uptrend.

On the upside, Bank Nifty faces intraday resistance at 52,200, with support at 52,000. If the index breaks above the 52,200 resistance, the uptrend could extend further. However, failure to do so may result in consolidation around current levels. Traders should monitor the 52,000 support and 52,200 resistance closely to gauge the next move.

Intraday Levels  Support: 52,000, 51,800, 51,600 Resistance: 52,200, 52,400, 52,600 (based on 15-minute charts)

Positional Trading Levels  Short-term Support: 52,000 - 50,500 Resistance: 53,350 - 54,400