Nifty to Kick-Start the Year with a Pause!● A detailed examination of the daily chart reveals the emergence of an Inverted Cup and Handle pattern, suggesting a bearish outlook.
● However, the index is currently hovering above the critical support level of 23,500, while attempting to establish a foothold above the 200-period EMA, a key dynamic support.
● Furthermore, options data indicates a significant concentration of put writers at the 23,500 strike price, lending additional credence to the support zone.
● Given these technical and sentimental factors, we expect the index to remain in a consolidative phase over the next month, as market participants await a clear catalyst for direction.
