NIFTY prediction for tomorrow 14 Aug 24

Aug 13

NIFTY has shown a full sell-off today after the Heisenberg report on the SEBI chairperson.

If we look at the chart now:
The market is trading near the support area of 24000. The market has been receiving good support from this zone and is expected to take it again. However, as the market has bearish sentiments right now, it might break the level and continue the bearish momentum till 23500.

Support levels: 23980, 23506
Resistance levels: 24441, 200 EMA, 24696

If we look at the OI data:
PCR = 0.55 shows bearish market behavior. There has been a huge PE sell-off today, which shows bulls are not trusting the market anymore and come out. There is too much CE writing at higher levels than PE writing at lower levels, which shows a high chance of a bearish market in the upcoming session.
I am expecting the market to follow 3 cases which are marked on the chart.
Case 1: If it breaks to the downside, it might take minor support at 24000, but it breaks to the downside and can give huge targets till 23500.
Case 2: If 24000 holds, it might get stuck in a range of 24000-24200.
Case 3: If it stays in the channel, it can become bullish and have targets of 24441.

Reason:

1. RSI < 40, showing the market is going to be in a bearish structure.
   
2. The Price is trading in a good support zone. It takes support and might end up sideways.
   
3. PCR = 0.53 shows that the market is huge Bearish.
   
4. Price < VWAP shows a Bearish market structure.
   

Verdict: Bearish or Sideways.

Plan of action:
Wait for 15 min candle. Wait for good price action on the 24000 levels, and make your positions based on cases accordingly.