Nifty- Weak Weekly chart - successive red candles below 20EMA
This week is yet to be over. Nifty last week breached the 20EMA on weekly chart with a strong red candle and closed below 20EMA. This week, it tried to rally above but today has closed again well below 20EMA with a red candle.
The 100EMA has gone too wide & far away from the price, so a rubber band effect will bring the two closer.
Last time we had two red candles closing below the 20EMA was in last week of Feb 2020, triggering the correction. Will the market show recovery backed by strong DII buying during this week? DIIs bought for 5350cr today, almost matching the 5445cr sold by FIIs.
The FIIs sales momentum has increased during this week. So let us see how they act during the week.
We might see some pauses and pullbacks to the resistance levels- 17041, 17356.
On the downside, the big support is at 15769. Minor supports on the way are at 16716 and 16399.
Economy news might just make the second candle green for this week- if it closes above 20EMA, then we will have much less immediate worry.
The 100EMA has gone too wide & far away from the price, so a rubber band effect will bring the two closer.
Last time we had two red candles closing below the 20EMA was in last week of Feb 2020, triggering the correction. Will the market show recovery backed by strong DII buying during this week? DIIs bought for 5350cr today, almost matching the 5445cr sold by FIIs.
The FIIs sales momentum has increased during this week. So let us see how they act during the week.
We might see some pauses and pullbacks to the resistance levels- 17041, 17356.
On the downside, the big support is at 15769. Minor supports on the way are at 16716 and 16399.
Economy news might just make the second candle green for this week- if it closes above 20EMA, then we will have much less immediate worry.