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NIFTY SMALL CAP 50 INDEX GANN ANALYSIS 19 NOV 2024Nifty Small Cap 50 Index has made an ATH near the 7935 price cycle target for an important cycle year 2024. Actual ATH is 9446.50 on 24 Sept 2024. We crossed this price of 7935 on 07 June 2024 and price has outperformed. As long as price stays above 8290 we will do time adjustment on price action. Squaring the recent low gives the price support at 8483. This can be used as short term support for the index.
Happy Trading !!!
What is Nifty Small cap indicating??Nifty Small Cap Vs Nifty-
The small cap index has been outperforming Nifty since the lows made in March 2020. It has again reached a crucial zone of resistance. I can see negativity in various stocks and sectors which i have posted. here is one more reason not to hold on to ur longs.
Nifty Small Cap Index signaling Risk On/ Outperformance BiasAttached: Nifty Small Cap 100/ Nifty 50 Daily Live Market Chart
A Possible Trend Change in this Ratio as there is Breakout
And now Small Caps are set to Outperform Large Caps for the coming few weeks
This is Risk On behavior, something has clearly changed on this Chart
Nifty / Small Cap 100Hello & welcome to this analysis
The relative strength of Nifty vis a vis Small Cap index is showing signs of a reversal from its slanting trend line after a period of 56 months of underperformance.
What does relative strength (RS) signify?
It suggests whether the underlying financial asset (in this case Nifty) is outperforming or underperforming against another financial asset (in this case Small Cap 100)
It means, in case of this RS slanting upwards
In rallies Nifty will do better than Small Cap 100
In corrections Nifty will fall less than Small Cap 100
If we go by the past reference as plotted, then a big reversal could be happening in terms of time for a period of 2 years at least. The horizontal lines as marked are trigger levels one needs to review.
Investing in Large caps (Nifty) appears safer than Small caps from here onwards unless this flips and continues to decline.
All the best with your investing & trading decisions
Nifty SmallCap - Long Way to GoNifty Small Cap is still almost 50% down from the high of Jan 2018. Its facing short term resistance in the trend line. Some of the small caps have shown signs of recovery. The index will try to scale back to previous high of 2018 in coming years. Choose a good smallcap with healthy balance sheet and undervalued. Many small caps P/E are available from 8-15. Ride the upcoming rally once the trend line is broken.
Nifty Small Cap ahead of budget week CHART -> Nifty Smallcap WEEKLY SETUP
Except few countable shares, most of the market is Small and Mid cap, one should also keep Nifty Smallcap chart in radar, which have seen a massive rally in 2021.
10,540 levels seems weekly support from which, last week also it bounced back.
Disclaimer: This is for educational purpose only. This is not any recommendations. I am not SEBI registered. Please consult your financial advisor before taking any action.