NIFTY TECHNICAL OUTLOOK

Based on Market Closing on Wednesday, October 16, 2024

In the previous trading session, the Nifty ended at 24,971.30, down by 86.05 points (-0.34%). The bearish sentiment may persist if the index trades below the crucial intraday support of 24,915.

Nifty opened negatively at 24,971.30 and briefly tested an intraday high of 25,093.40 during the morning trade. However, it later declined to an intraday low of 24,908.40, closing at 24,971.30. Except for the realty and financial services sectors, all others closed with a negative bias. The biggest sector losers were auto, IT, media, and private banks. Market breadth reflected a slightly negative tone, with 1,292 stocks advancing, 1,310 declining, and 141 remaining unchanged. Top Nifty gainers included HDFC Life, Dr. Reddy's, Grasim, and Bharti Airtel, while the major losers were Trent, M&M, Infosys, and Hero MotoCorp.

On the technical front, momentum indicators point to a continuation of the bearish trend, with Nifty trading below its short- and medium-term moving averages. The index also formed a black candle on the daily chart, closing below the previous session's level, reinforcing a negative bias. Key support lies at 24,915, while resistance is seen at 24,985. A sustained move below 24,915 may extend the downtrend, while a breakout above 24,985 is required for a pullback rally.

Intraday Levels:  Support: 24,915, 24,860, 24,800 Resistance: 24,985, 25,050-25,100 (15-Minute Charts)

Positional Trading Levels: Short-term support: 24,750 - 24,450 Resistance: 25,500 - 26,275

BANK NIFTY TECHNICAL OUTLOOK

In the previous session, Bank Nifty closed at 51,801.05, down by 104.95 points. The momentum indicators suggest a negative trend, though the index is still above its short-term moving averages. The formation of a small white candle on the daily chart, combined with a close below the previous day's level, indicates a potential consolidation phase.

On the downside, immediate support is seen at 51,750, while intraday resistance is placed at 52,000. A break below 51,750 could signal further downside movement, while a move above 52,000 is necessary to shift the momentum towards a positive trend.

Intraday Levels (15-Minute Charts):  Support: 51,770, 51,600, 51,400 Resistance: 52,000, 52,200, 52,400

Positional Levels:  Support: 51,750 - 50,500 Resistance: 52,800 - 54,460