NIFTY Technical Outlook

Based on Market Closing on Friday, June 21, 2024

In the last trading session, the Nifty closed at 23,501.10, down 65.90 points or 0.28 percent. The nearest short-term support is at the 23,350 level.

The Nifty opened positively at 23,661.20 and tested a record high of 23,667.10 in the morning trade. However, the index could not maintain the momentum and gradually fell, hitting an intraday low of 23,398.20 before closing at 23,501.10. The media, IT, and metal sectors closed positively, while the major losers were FMCG, PSU banks, realty, and auto. The market breadth was negative, with 1,114 stocks rising, 1,381 falling, and 119 remaining unchanged. The top gainers in the Nifty index were BHARTIARTL, LTIM, HINDALCO, and INFY. On the other hand, the major losers included ULTRACEMCO, ADANIENT, BPCL, and TATAMOTORS.

From a technical standpoint, momentum indicators signal a positive trend. The Nifty remains above its long-term and short-term moving averages. However, the index formed a black candle on the daily chart and closed below the previous day's close, indicating a negative bias. On the downside, the index has short-term support at the 23,350 level. If the index closes below this level, the short-term trend can turn downward. Otherwise, a pullback rally can be expected from the support area. The nearest intraday resistance is at the 23,535 level.

Intraday Levels: Support: 23,465, 23,400, 23,335 Resistance: 23,535, 23,610-23,670 (15-Minute Charts)

Positional Trading: Short-term support: 23,350-22,800 Resistance: 23,800-24,250

BANK NIFTY

In the preceding trading session, Bank Nifty closed at 51,661.45, registering a loss of 121.80 points. Technically, the momentum indicators signal a positive trend, and the index remains above the medium-term and short-term moving averages. However, the index formed a black candle on the daily chart and closed below the previous day's close. The long lower shadow of the candle indicates that buying interest emerged near the support area. On the higher side, the index has intraday resistance at the 51,950 level. If the index moves above this level, a bullish trend can be expected in the coming days. Otherwise slightly negative trend can be expected today. The nearest intraday support is at the 51,550 level.

Intraday Levels: Support: 51,550, 51,230, 50,900 Resistance: 51,950, 52,200, 52,500 (15-Minute Charts)

Positional Trading: Short-term support: 51,000-49,500 Resistance: 52,300-53,600