06 Feb ’24 — Nifty takes out the resistance of 21319 on lower TF

NSE:NIFTY   Nifty 50 Index
Nifty Analysis - Stance Neutral ➡️
Recap from yesterday: “The chart pattern is not at all bearish, in fact, it is more bullish than bearish. But we all know for an upward move, the resistance has to be knocked out whereas the support has to be breached for a downward move. For tomorrow, we wish to maintain our neutral stance and wait for some directional clues to appear.”

4mts chart
Nifty does the tough job today - to take out the resistance of 21913. The real job of going bullish is so easy tomorrow, all it needs to do is hold the ground and the bulls will bring the momentum for the rally. Over the last 3 trading sessions, we witnessed 2 failures i.e on the 2nd and 5th Feb. Today against all odds, we opened at a level quite lower than this resistance area and then managed to pull up to the zone and then beat it. In a way, the slow and steady grind is much powerful as we have seen that this market rarely gives leeway to the Bears. BankNifty was not at all supporting Nifty and almost all the gains came from the NiftyIT stocks. NiftyIT closed the day with a super strong gain of 2.92%.

63mts chart
The good news of the resistance break is only for the lower time frame. Nifty is still undecided on the 63mts TF and for that same reason, we wish to start the day tomorrow with a neutral bias and then go long if we have a green candle above the 21913 zone. Only if BankNifty lends support we can take out the ATH and there is no better day than the expiry day for such feats.


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