The Gift Nifty is giving us a heads-up that the Indian benchmark index might kick off the day on a bit of a downslide. It’s currently hovering around the 19,520 mark, a tad lower than where the Nifty futures left off at 19,616 yesterday.
On Thursday, our local stock market took another rollercoaster ride. The Sensex, a key indicator, decided to take a break from its winning streak and dropped by 247.78 points to finish at 65,629.24. Meanwhile, the Nifty 50, which represents 50 major companies, also went on a downhill slide, losing 46.40 points and resting at 19,624.70. It was a bit of a bumpy day for the financial markets!
On the daily chart, the Nifty 50 decided to shine a little brighter today, creating a small, optimistic candlestick that comes with an interesting twist – it’s got a bit of an upper shadow to it.
Nifty
“Nifty took a bit of a tumble today, falling below that critical 19,650 level where it’s been holding steady. It closed the day beneath that point.
But, don’t fret just yet! The 55EMA (that’s the Exponential Moving Average) swooped in like a guardian angel, providing some support when the market needed it the most.
Here’s the deal, in the short run, things might continue to be a rollercoaster. If Nifty manages to climb back up above 19,650, we might just be in for a ride that takes us closer to 19,850,” explained Rupak De, the wise Senior Technical Analyst at LKP Securities.
Bank Nifty
“Yesterday, the Bank Nifty had a bit of a rollercoaster ride as it faced some selling pressure and closed 134 points down at 43,755 on October 19.
Kunal Shah, who’s quite the expert when it comes to this stuff, had some interesting insights to share. He said that the Bank Nifty has been in a bit of a tug-of-war lately. The bulls and the bears are locked in a battle, and the index seems to be going nowhere in particular. Right now, it’s like the index is stuck between a rock and a hard place. There’s a tough resistance at 44,000 on one side and a support level at 43,500 on the other.
Kunal’s saying that we’re in for some action soon. Once the index decides which way it wants to go, we might see some significant movement in that direction. So, let’s keep an eye out for that breakout!”
Shah’s perspective on the Bank Nifty situation reveals an interesting trend among traders. It seems that many traders these days are adopting a strategy of “selling when prices rise.” In simpler terms, they prefer to offload their holdings when the Bank Nifty is on an upswing.
Shah further highlights a crucial obstacle at the 44,500 level, describing it as a formidable barrier standing in the way of the index’s progress. Breaking through this level and closing above it could signal a resurgence of the uptrend. It’s like the Bank Nifty is trying to smash through a financial fortress, and if it succeeds, it might be a promising sign for bullish investors.
