NIFTY ON 19-01-2023
The volatility in the Indian equity markets continued amid the weak global cues.
Opened Gap down Index fell below its crucial intraday support level of 18100 and made the day low of 18077.85 during the first hour of trading session. Index immediately took support from this level and made the day high of 18155.20.
Despite all the negative factors, the Bulls successfully defended 18100 throughout the trading session on weekly expiry and consequently NIFTY remained rangebound between the band of 18075-18155.
NIFTY closed at 18107.85 with a loss of 0.32% making a spinning top candle on daily chart.
Technical View: Daily Chart
NIFTY has made a spinning top candle which indicates the trend reversal from current levels.
NIFTY is moving above EMA 13, 21 and below . Also, EMA 13< EMA21<EMA34 which may be interpreted as the short-term trend of NIFTY is downward.
RSI has fallen near 50 Level from upper level which reflects the loss of strength which was gained during previous trading sessions.
All these three indicators taken together indicates towards the further weakness in NIFTY.
Support and Resistance : Daily Chart
18040-17991 will work as the first support level for NIFTY and below this 17968 will hold strong support.
On the upper side NIFTY will face resistance in the range of 18136-18181. Above this 18240 will hold strong resistance.
View for Traders:
As we have analysed above the Index is technically weak and indicators are showing that Index may show further weakness.
At global platform, US is under the fear of recession and the same is reflected by DJI.
However, an analysis of the Options chain NIFTY expiry 25th January 2023 reveals that there are very high chances that tomorrow’s session may remain rangebound between 18075-18175.
Hence, it may be concluded that trades will take at both the end and volatility will prevail.
Buy NIFTY near the first support level of 18040 for target of 18125. SL may be kept below 18000 on closing basis.
Sellers must take their chances near 18200 ( aggressive traders may sell in the range of 18150-175) for target of 18125-18100. SL may be kept above 18240 on closing basis.
INTRADAY PICKS
1. ONGC
Buy in the range of 150.30-151.10
Target 154.30
SL 148
2. DATAMATICS
Buy in the range of 303-305
Target 320
SL : 295
The volatility in the Indian equity markets continued amid the weak global cues.
Opened Gap down Index fell below its crucial intraday support level of 18100 and made the day low of 18077.85 during the first hour of trading session. Index immediately took support from this level and made the day high of 18155.20.
Despite all the negative factors, the Bulls successfully defended 18100 throughout the trading session on weekly expiry and consequently NIFTY remained rangebound between the band of 18075-18155.
NIFTY closed at 18107.85 with a loss of 0.32% making a spinning top candle on daily chart.
Technical View: Daily Chart
NIFTY has made a spinning top candle which indicates the trend reversal from current levels.
NIFTY is moving above EMA 13, 21 and below . Also, EMA 13< EMA21<EMA34 which may be interpreted as the short-term trend of NIFTY is downward.
RSI has fallen near 50 Level from upper level which reflects the loss of strength which was gained during previous trading sessions.
All these three indicators taken together indicates towards the further weakness in NIFTY.
Support and Resistance : Daily Chart
18040-17991 will work as the first support level for NIFTY and below this 17968 will hold strong support.
On the upper side NIFTY will face resistance in the range of 18136-18181. Above this 18240 will hold strong resistance.
View for Traders:
As we have analysed above the Index is technically weak and indicators are showing that Index may show further weakness.
At global platform, US is under the fear of recession and the same is reflected by DJI.
However, an analysis of the Options chain NIFTY expiry 25th January 2023 reveals that there are very high chances that tomorrow’s session may remain rangebound between 18075-18175.
Hence, it may be concluded that trades will take at both the end and volatility will prevail.
Buy NIFTY near the first support level of 18040 for target of 18125. SL may be kept below 18000 on closing basis.
Sellers must take their chances near 18200 ( aggressive traders may sell in the range of 18150-175) for target of 18125-18100. SL may be kept above 18240 on closing basis.
INTRADAY PICKS
1. ONGC
Buy in the range of 150.30-151.10
Target 154.30
SL 148
2. DATAMATICS
Buy in the range of 303-305
Target 320
SL : 295