The trends on Gift Nifty also indicate a gap-up start for the Indian benchmark index. The Gift Nifty was trading around 22,080 level, a premium of nearly 170 points from the Nifty futures’ previous close.
On Wednesday, the Indian stock market indices ended with minor gains amid bouts of volatility supported by favourable global sentiment.
The Sensex gained 89.64 points, or 0.12%, to close at 72,101.69, while the Nifty 50 settled 21.65 points, or 0.1%, higher at 21,839.10.
Nifty 50 formed a small body candle on the daily chart with upper and lower shadows.
“Technically, this pattern indicates the formation of a doji type candle pattern. Normally, a doji after a reasonable upmove or down moves calls for impending trend reversals. Having formed a doji after a minor downtrend, the chance of a minor pullback rally is likely,” said Nagaraj Shetti, Senior Technical Research Analyst, HDFC Securities.
Minor degree positive chart pattern like higher tops and bottoms have been negated recently as per the daily chart. Hence, any upside bounce from here is expected to be a lower top formation in the short term, he added.
According to Shetti, the near-term trend of Nifty 50 remains weak. Further upmove from here could find strong overhead resistance around 22,150 – 22,200 levels in the next few sessions and this is likely to be a sell-on-rise opportunity.
Here’s what to expect from Nifty 50 and Bank Nifty today:
Nifty OI Data
Examination of the Nifty Open Interest (OI) data reveals the highest OI on the call side at the 22,000 strike price, followed by the 22,300 strike price. On the put side, the highest OI was observed at the 21,500 strike price, said Mandar Bhojane, Research Analyst at Choice Broking.
Nifty 50 Prediction
Nifty 50 shifted into a consolidation movement amidst volatility on March 20 and closed the day higher by 21 points.
“The index remained volatile ahead of the US Federal Reserve’s policy meeting. The overall sentiment remains negative as the index closed below the previous consolidation low. Additionally, the index ended the session below the critical moving average. However, a further fall is anticipated below the recent swing low on the hourly chart, which is positioned around 21,700,” said Rupak De, Senior Technical Analyst, LKP Securities.
On the higher end, resistance is placed at 21,900 – 22,000, he added.
Bank Nifty Prediction
The Bank Nifty index ended 74 points lower at 46,311 amid volatility on Wednesday.
“The Bank Nifty encountered another round of volatility, with the ongoing struggle between bulls and bears persisting, particularly ahead of the US Fed meeting. Key support lies within the 46,000 – 45,800 zone, and maintaining these levels on a closing basis suggests a continued bullish stance,” said Kunal Shah, Senior Technical & Derivative Analyst at LKP Securities.
According to Shah, immediate resistance is positioned at 47,000, coinciding with the 20-DMA (Day Moving Average), and a decisive close above this level could reignite the upward trend, targeting levels around 48,000 – 48,500.
Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.
Unlock a world of Benefits! From insightful newsletters to real-time stock tracking, breaking news and a personalized newsfeed – it’s all here, just a click away! Login Now!
Download The Mint News App to get Daily Market Updates.
Published: 21 Mar 2024, 07:29 AM IST