NIFTY 50 EOD ANALYSIS -03-09-21
IN SUMMARY
O / H / L / C
17399.35 / 17429.55 / 17345.55 / 17377.8
H-L = +84 points
VIX 15.11 / +3.92%
FII DII: -42 Crores
Likely open: Unable to read - as today US markets are also closed so indices may consolidate again unless a heavyweight does some interesting moves.
CHART BASED CONCLUSIONS
NIFTY crossed 17400 as well in the first half an hour but failed to hold on to the same.
NIFTY ended the day on yet another ATH close.
A higher high and a higher low has been created.
On the Daily charts a Doji has been formed indicating indecision.
NIFTY WEIGHT LIFTERS & DRAGGERS
The Weight Lifters
RELIANCE 28
INFOSYS 23
WIPRO 11
HCL TECH 06
GRASIM 03
TOTAL 71
The Draggers
HDFC BANK 10
ICICI BANK 05
KOTAK BANK 04
IOC 03
ITC 02
TOTAL 24
Lifter - Draggers = +47
The towering presence of RELIANCE & INFOSYS changed the fortunes for NIFTY.
POSITIVES
INFOSYS has made a strong recovery and is now coming close to the ATH levels hit a few days ago.
RELIANCE closed at ATH of 2400+.
NIFTY hit a new ATH above 17400.
NIFTY closed in the green despite pressure from BANK NIFTY.
NEGATIVES
HDFC BANK, ICICI BANK & KOTAK BANK dragged BANK NIFTY and therefore NIFTY as well.
BANK NIFTY closed near the day’s low and below 36600.
FII DII is net negative of 42 Crores.
BANK NIFTY could not go closer to 37000.
TRADING RANGE FOR WB 07-09-21
17000-17200 is the support base. I do not know what the upper levels may be.
BANK NIFTY support stays at 36200-400 and resistance at 37000-37200.
INSIGHT / OBSERVATIONS
BANK NIFTY trading range was 369 points only which means that the index is getting ready for a big move on either side. It has the tendency to surprise the participants so we will need to wait and watch.
NIFTY ended in the green only because of RELIANCE & INFOSYS. RELIANCE fell sharply from the day’s high of 2480+ to end at 2425.
RELIANCE and BANK NIFTY hold the key for tomorrow.
What do you feel about this?
Thank you, and Happy Money Making!
Umesh
06-09-21
P.S. If you choose to comment on the above, please do so with your analytical view rather than merely passing a comment. Your presentation of the view held by you would help other readers as well.
NOTE --
This write-up is not a prediction mechanism for the movement of Indices in the Indian markets as the markets are unpredictable in nature. I may refer to many data points in the article but I do not base my view on any of these standalone. In fact, I prefer to react to the price moves than predict the price moves. I also do not review Open Interest. Whatever data points I am using, are all stated in the article. The article title as well as its contents can at best be stated as --- This Is How I Read Nifty. I hope I have been able to set the expectations right.
IN SUMMARY
O / H / L / C
17399.35 / 17429.55 / 17345.55 / 17377.8
H-L = +84 points
VIX 15.11 / +3.92%
FII DII: -42 Crores
Likely open: Unable to read - as today US markets are also closed so indices may consolidate again unless a heavyweight does some interesting moves.
CHART BASED CONCLUSIONS
NIFTY crossed 17400 as well in the first half an hour but failed to hold on to the same.
NIFTY ended the day on yet another ATH close.
A higher high and a higher low has been created.
On the Daily charts a Doji has been formed indicating indecision.
NIFTY WEIGHT LIFTERS & DRAGGERS
The Weight Lifters
RELIANCE 28
INFOSYS 23
WIPRO 11
HCL TECH 06
GRASIM 03
TOTAL 71
The Draggers
HDFC BANK 10
ICICI BANK 05
KOTAK BANK 04
IOC 03
ITC 02
TOTAL 24
Lifter - Draggers = +47
The towering presence of RELIANCE & INFOSYS changed the fortunes for NIFTY.
POSITIVES
INFOSYS has made a strong recovery and is now coming close to the ATH levels hit a few days ago.
RELIANCE closed at ATH of 2400+.
NIFTY hit a new ATH above 17400.
NIFTY closed in the green despite pressure from BANK NIFTY.
NEGATIVES
HDFC BANK, ICICI BANK & KOTAK BANK dragged BANK NIFTY and therefore NIFTY as well.
BANK NIFTY closed near the day’s low and below 36600.
FII DII is net negative of 42 Crores.
BANK NIFTY could not go closer to 37000.
TRADING RANGE FOR WB 07-09-21
17000-17200 is the support base. I do not know what the upper levels may be.
BANK NIFTY support stays at 36200-400 and resistance at 37000-37200.
INSIGHT / OBSERVATIONS
BANK NIFTY trading range was 369 points only which means that the index is getting ready for a big move on either side. It has the tendency to surprise the participants so we will need to wait and watch.
NIFTY ended in the green only because of RELIANCE & INFOSYS. RELIANCE fell sharply from the day’s high of 2480+ to end at 2425.
RELIANCE and BANK NIFTY hold the key for tomorrow.
What do you feel about this?
Thank you, and Happy Money Making!
Umesh
06-09-21
P.S. If you choose to comment on the above, please do so with your analytical view rather than merely passing a comment. Your presentation of the view held by you would help other readers as well.
NOTE --
This write-up is not a prediction mechanism for the movement of Indices in the Indian markets as the markets are unpredictable in nature. I may refer to many data points in the article but I do not base my view on any of these standalone. In fact, I prefer to react to the price moves than predict the price moves. I also do not review Open Interest. Whatever data points I am using, are all stated in the article. The article title as well as its contents can at best be stated as --- This Is How I Read Nifty. I hope I have been able to set the expectations right.
