Nifty Expectation for Tuesday, June 18th 2024
Nifty Analysis:
Previous OI PCR: 1.3
General Trend:
Nifty has spent 5 months near the middle of the channel on the monthly chart and is now looking to break out.
On the daily chart, since June 10, Nifty has been trading within a narrow 300-point range.
From June 5th to 14th, no candle on the daily chart has closed below the previous day’s low.
Over the past 4 days, the daily chart shows buyers gradually pushing the close higher each day. Despite this, Nifty hasn't managed a strong breakout.
All these indicate that while bulls remain active, they are hesitant. A strong breakout above 23,500 is needed to push Nifty toward the upper trendline of the channel.
Ichimoku Cloud:
On the Nifty hourly chart, Nifty is hovering around TS @ 23,410, with KS support around 23,360.
As per Ichimoku Nifty is bullish in Monthly, weekly and daily time frames. Neutral in hourly TF.
Key Levels for Nifty:
Resistance: 23,480 (+/- 20 points)
Support: 23,350 (+/- 20 points)
Entry and Exit Points:
Breakout with Momentum: Above 23,500 may lead to short covering by call writers @ 23,500, pushing Nifty towards 23,600 to 23,650.
Breakdown Below Support: Below 23,350 can push Nifty down to 23,300, 23,200, and then to
22,050.
Red Flags:
Although Nifty is positive on the weekly, daily, and hourly charts, it has moved above the upper Bollinger Band on the weekly chart, suggesting a likely reversal due to profit-taking. This is supported by bearish divergence on the MACD and RSI. However, the trend will only turn bearish if the weekly candle closes below the previous week's low.
With VIX falling below 13, option buyers should be careful as the momentum needed to push prices up may be missing.
Protect any future gains resulting from the upmove and stay cautious.
Disclaimer: We are not SEBI registered. The content presented here is based on personal opinions. Conduct your own research and consult with a qualified financial advisor before making any investment decisions.
Previous OI PCR: 1.3
General Trend:
Nifty has spent 5 months near the middle of the channel on the monthly chart and is now looking to break out.
On the daily chart, since June 10, Nifty has been trading within a narrow 300-point range.
From June 5th to 14th, no candle on the daily chart has closed below the previous day’s low.
Over the past 4 days, the daily chart shows buyers gradually pushing the close higher each day. Despite this, Nifty hasn't managed a strong breakout.
All these indicate that while bulls remain active, they are hesitant. A strong breakout above 23,500 is needed to push Nifty toward the upper trendline of the channel.
Ichimoku Cloud:
On the Nifty hourly chart, Nifty is hovering around TS @ 23,410, with KS support around 23,360.
As per Ichimoku Nifty is bullish in Monthly, weekly and daily time frames. Neutral in hourly TF.
Key Levels for Nifty:
Resistance: 23,480 (+/- 20 points)
Support: 23,350 (+/- 20 points)
Entry and Exit Points:
Breakout with Momentum: Above 23,500 may lead to short covering by call writers @ 23,500, pushing Nifty towards 23,600 to 23,650.
Breakdown Below Support: Below 23,350 can push Nifty down to 23,300, 23,200, and then to
22,050.
Red Flags:
Although Nifty is positive on the weekly, daily, and hourly charts, it has moved above the upper Bollinger Band on the weekly chart, suggesting a likely reversal due to profit-taking. This is supported by bearish divergence on the MACD and RSI. However, the trend will only turn bearish if the weekly candle closes below the previous week's low.
With VIX falling below 13, option buyers should be careful as the momentum needed to push prices up may be missing.
Protect any future gains resulting from the upmove and stay cautious.
Disclaimer: We are not SEBI registered. The content presented here is based on personal opinions. Conduct your own research and consult with a qualified financial advisor before making any investment decisions.
Disclaimer
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