NIFTY TECHNICAL OUTLOOK
Based on Market Closing on Thursday, November 7, 2024
In the last trading session, the Nifty closed at 24,199.35, down by 284.70 points, or 1.16%. A bearish outlook may persist if the index breaks below the intraday support level of 24,170.
The Nifty opened positively at 24,489.60 and briefly touched an intraday high of 24,503.30 in the morning session. However, it then experienced a sharp decline, reaching an intraday low of 24,179.10 and closing at 24,199.35. All sectors ended in negative territory, with the heaviest losses seen in metal, pharma, realty, and auto. Market breadth was weak, with 1,561 stocks declining, 1,106 advancing, and 95 remaining unchanged. The top gainers in the Nifty included Apollo Hospitals, SBI, HDFC Life, and TCS, while the biggest losers were Hindalco, Trent, Shriram Finance, and Grasim.
Technically, momentum indicators point to a negative trend, with the Nifty closing below its short-term moving averages. The formation of a black candle on the daily chart, coupled with a close near the day’s low, suggests that bearish momentum may continue. Immediate intraday support is at 24,170; and the resistance at 24260. Nifty’s close below its short-term moving averages, coupled with a bearish candle formation, signals a cautious outlook. If the index breaks below the key support at 24,170, it may see further downside pressure. However, a recovery above 24,260 could open the door for a potential pullback. Traders should watch these levels closely, as they will likely define the near-term direction of the market.
Intraday Levels: Support: 24,170, 24,040, 23,920 Resistance: 24,260, 24,365 - 24,500 (15-Minute Charts)
Positional Levels: Short-term Support: 23,800 - 23,350 Resistance: 24,500 - 25,200
BANK NIFTY TECHNICAL OUTLOOK
In the previous trading session, Bank Nifty closed at 51,916.50, down by 400.90 points. Although momentum indicators suggest a generally positive trend, with the index remaining above its short- and medium-term moving averages, the formation of a black candle on the daily chart and a close below the prior day’s level indicates a shift to a bearish bias.
On the downside, Bank Nifty has immediate intraday support at 51,800 while the resistance at 52075 level. While Bank Nifty remains above its key moving averages, the recent bearish candle and close below the previous day’s level suggest caution. A sustained break below 51,800 could signal further downside movement in the short term, while a rebound above 52,075 may help restore bullish sentiment. Traders should keep an eye on these key levels, as they will likely dictate the near-term trend for Bank Nifty.
Intraday Levels: Support: 51,800, 51,530, 51,250 Resistance: 52,075, 52,265, 52,500 (15-Minute Charts)
Positional Levels: Short-term Support: 51,000 – 50,000 Resistance: 52,400 – 53,500
