Nifty Technical Outlook
Based on Market Closing on Wednesday, September 18, 2024
In the latest trading session, the Nifty closed at 25,377.55, down 41 points (-0.16%). To resume its bullish trend, the index must surpass the key intraday resistance level of 25,450.
The session began with a negative bias as the Nifty opened at 25,402.40. It briefly tested a new high of 25,482.20 but failed to maintain momentum, eventually dropping to an intraday low of 25,285.60 before closing lower. While the financial services and banking sectors showed strength, the IT, pharma, metal, and auto sectors were the biggest laggards. Market breadth was weak, with 1,780 declining stocks against 832 advancing, and 103 unchanged. Key gainers included SHRIRAMFIN, BAJFINANCE, BAJAJFINSV, and NESTLEIND, while the top losers were TCS, HCLTECH, INFY, and TECHM.
From a technical perspective, momentum indicators still point to a positive trend as the Nifty holds above both short- and long-term moving averages. However, the formation of a small black candle on the daily chart indicates the possibility of consolidation. For a bullish continuation, the index needs to break above the 25,450 resistance. If it fails, consolidation may persist. A close below 25,340 could signal a shift towards a negative bias.
Intraday Levels: Support: 25,340, 25,260, 25,150 Resistance: 25,450, 25,525, 25,600
Positional Trading Levels: Short-term support: 25,350–24,800 Resistance: 25,850–26,350
Bank Nifty Technical Outlook
In the previous trading session, Bank Nifty closed at 52,750.40, gaining 561.75 points. Technically, momentum indicators point to a positive trend, with the index staying above both its short-term and long-term moving averages. The formation of a long white candle on the daily chart, coupled with a close above the previous session, suggests the bullish trend may continue.
On the upside, immediate resistance is at 52,775. Sustaining above this level could see Bank Nifty testing the next resistance at 53,400 in the coming days. The nearest intraday support is at 52,600.
Intraday Levels: Support: 52,600, 52,400, 52,200 Resistance: 52,935, 53,150, 53,400
Positional Trading Levels: Support: 51,750–50,700 Resistance: 52,775–53,400
