NIFTY ANALYSIS AND INTRADAY PICKS
NIFTY ON 07-12-2022
The unexpected Hawkish approach by the Central Bank spoilt the sentiments and the effect was visible as soon as the indications of further rate hikes got out.
NIFTY opened flat with a positive expectation and traded higher during the first 30 minutes. However, in the later part of the trading session Index failed to continue the momentum and the reason we have already discussed above.
Only FMCG and PSU BANK closed in Green and selling was observed in all other indices.
NIFTY retested 18500 which is the most crucial level for now and must be defended to stop Index from slipping further.
Index closed at 18560.50 with a loss of 0.44% making a Bearish candle on daily chart.
Technical View : (Daily Chart)
NIFTY has made a Bearish candle which is sending the indications of further weakness in the Index.
NIFTY is moving above EMA 13, 21, 34 and EMA 21< EMA34<EMA13 which can be interpreted as the short and mid-term trend is still intact.
RSI has fallen below 60 level which in combination of other factors indicates that Index has lost the momentum and further weakness may be observed in the Index.
Support and Resistance : Daily Chart
18536-18435 will work as the first support level for NIFTY and below this 18360 will hold strong support for NIFTY.
On the upper side NIFTY will face resistance in the range of 18635-18675.
View for Traders:
Index is trading at its very important support level i.e. 18500 and it must be defended as if Index breaches this level there are high chances that Index will retest 18435-18360.
On the other hand, the Options data suggests that it would be a difficult task for Index to cross 18600-650.
Further, the global cues are weak and selling from FIIs is continued.
The Fibonacci Retracement level suggests that Index may retest 18360 in upcoming trading sessions (This view may be kept reserved for the Positional traders.)
Considering all these factors one may expect a volatile session today and the move may come at both the sides.
Buy NIFTY in the range of 18500-435 for a target of 18550-575. SL may be put below 18400.
Sellers must take their chances in the range of 18575-625. SL may be put above 18700.
INTRADAY PICKS
1. SIGACHI INDUSTRIES
Buy in the range of 294-295
Target 1 299 Target 2 305
SL 291
2. GAEL
Buy in the range of 250-252
Target 259.50
SL : 247
The unexpected Hawkish approach by the Central Bank spoilt the sentiments and the effect was visible as soon as the indications of further rate hikes got out.
NIFTY opened flat with a positive expectation and traded higher during the first 30 minutes. However, in the later part of the trading session Index failed to continue the momentum and the reason we have already discussed above.
Only FMCG and PSU BANK closed in Green and selling was observed in all other indices.
NIFTY retested 18500 which is the most crucial level for now and must be defended to stop Index from slipping further.
Index closed at 18560.50 with a loss of 0.44% making a Bearish candle on daily chart.
Technical View : (Daily Chart)
NIFTY has made a Bearish candle which is sending the indications of further weakness in the Index.
NIFTY is moving above EMA 13, 21, 34 and EMA 21< EMA34<EMA13 which can be interpreted as the short and mid-term trend is still intact.
RSI has fallen below 60 level which in combination of other factors indicates that Index has lost the momentum and further weakness may be observed in the Index.
Support and Resistance : Daily Chart
18536-18435 will work as the first support level for NIFTY and below this 18360 will hold strong support for NIFTY.
On the upper side NIFTY will face resistance in the range of 18635-18675.
View for Traders:
Index is trading at its very important support level i.e. 18500 and it must be defended as if Index breaches this level there are high chances that Index will retest 18435-18360.
On the other hand, the Options data suggests that it would be a difficult task for Index to cross 18600-650.
Further, the global cues are weak and selling from FIIs is continued.
The Fibonacci Retracement level suggests that Index may retest 18360 in upcoming trading sessions (This view may be kept reserved for the Positional traders.)
Considering all these factors one may expect a volatile session today and the move may come at both the sides.
Buy NIFTY in the range of 18500-435 for a target of 18550-575. SL may be put below 18400.
Sellers must take their chances in the range of 18575-625. SL may be put above 18700.
INTRADAY PICKS
1. SIGACHI INDUSTRIES
Buy in the range of 294-295
Target 1 299 Target 2 305
SL 291
2. GAEL
Buy in the range of 250-252
Target 259.50
SL : 247
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