NIFTY Technical Outlook

Based on Market Closing on Wednesday, September 04, 2024

In the last trading session, the Nifty closed at 25,198.70, down by 81.15 points or 0.32%. For the index to maintain a positive trend, it must surpass the intraday resistance level of 25,230.

The session began with a downward bias as the Nifty opened at 25,089.90 and reached an intraday low of 25,083.80 during morning trade. The index then gradually recovered, testing the intraday high of 25,216 before closing at 25,198.70. Sectoral performance was mixed, with pharma, realty, FMCG, and media sectors showing gains, while banks, IT, metal, and auto sectors faced losses. Market breadth was slightly negative, with 1,211 stocks advancing, 1,347 declining, and 135 remaining unchanged. The top gainers in the Nifty index included ASIANPAINT, GRASIM, HINDUNILVR, and APOLLOHOSP, while WIPRO, COALINDIA, ONGC, and HINDALCO were the major laggards.

From a technical perspective, momentum indicators suggest a bullish trend, with the Nifty remaining above both its short-term and long-term moving averages. The index formed a white candle on the daily chart but closed below the previous day's close, indicating potential consolidation. On the downside, the index has intraday support at the 25,130 level, while the resistance stands at 25,230. The Nifty's ability to break above the 25,230 resistance level will be crucial in determining the next directional move. If the index successfully surpasses this level, it may continue its upward momentum, while failure to do so could lead to further consolidation or a potential downside.

Intraday Levels: Support: 25,130, 25,075, 25,000 Resistance: 25,230, 25,325-25,400 (15-Minute Charts)

Positional Trading Levels: Short-term Support: 25,100 - 24,475 Resistance: 25,600 - 26,150

Bank Nifty Technical Outlook

In the previous trading session, Bank Nifty closed at 51,400.25, marking a loss of 288.85 points. Technically, momentum indicators suggest a positive trend, with the index holding above its short-term and long-term moving averages. Although the index formed a small white candle on the daily chart, it closed below the previous day's level, indicating the potential for consolidation.

On the upside, Bank Nifty faces intraday resistance at the 51,450 level, with support at 51,250. If the index trades and sustains above 51,450, a bullish trend may emerge today; otherwise, it could consolidate below this level for a few days.

Intraday Levels: Support: 51,250, 51,000, 50,800 Resistance: 51,450, 51,650, 51,850 (15-Minute Charts)

Positional Trading Levels: Short-term Support: 51,000 - 49,600 Resistance: 52,500 - 53,400