Trade Setup: 15,200 level crucial for Nifty; upside looks limited

The home fairness market refused to take any directional cue on the final buying and selling day of the week because it oscillated inside an outlined vary and ended on a flat be aware.

Headline index Nifty began on a flat be aware and after dipping barely within the purple within the morning commerce, it crawled again contained in the constructive territory. The index spent a lot of the day buying and selling within the constructive territory however inside a capped vary. It was the final hour of the session once more that led to undoing of the day’s acquire. The index not solely pared all its acquire, but in addition dipped nicely into the unfavorable zone. Nevertheless, it managed to recuperate all of the loss and at last closed flat with a negligible lack of 10 factors or 0.07 per cent.


Nifty continued to carry most Name OI focus at 15,200. Except the index is ready to transfer previous this degree and maintain above that time, it can keep susceptible to revenue taking bouts at greater ranges. The F&O knowledge didn’t supply any sturdy directional cues, however the longer timeframe charts stayed evidently overstretched and overextended. Alternatively, Nifty futures have seen addition of some Open Curiosity, indicating constructed up of some quick positions. The Nifty PCR stood wholesome at 1.38. Volatility declined as India VIX got here off by 3.79 per cent to 23.0450.

Monday’s session is more likely to see a gentle begin to the week. The degrees of 15,200 and 15,295 will act as quick resistance factors, whereas assist will are available in at 15,100 and 15,020 ranges.

Whereas the upsides are anticipated to remain capped, any corrective transfer is more likely to make the buying and selling vary wider than common.

The every day RSI stood at 69.85; it stayed impartial and didn’t present any divergence towards value. The every day MACD was bullish and stayed above its Sign Line. A Spinning Prime candle occurred on the charts. This reveals the tentative conduct of the market contributors; occurrences of Spinning Tops close to the height following a steep uptrend might result in a disruption of the present uptrend. Nevertheless, it will want affirmation on the following bar on the charts.

All in all, the index is hanging precariously close to its peak degree. If the Nifty extends its up transfer, it can keep extremely restricted. Upsides will proceed to remain capped with the market remaining susceptible at greater ranges. With the US Greenback more likely to get resilient, shares may even see some traction over the approaching days. We suggest persevering with to remain extremely stock-specific and approaching the market on a extremely cautious be aware, whereas retaining exposures at modest ranges.

(Milan Vaishnav, CMT, MSTA, is a Consulting Technical Analyst and founding father of Gemstone Fairness Analysis & Advisory Companies, Vadodara. He might be reached at

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