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Share Market outlook today: Nifty, Bank Nifty may rebound amid positive global cues; check support, resistance

Nifty and Bank Nifty Today: Nifty first support is placed at 16899 and then 16761 and resistance is seen at 17143 and 17248. Bank Nifty first support placed at 39134, and then 38764 and resistance at 39817 and then 40130.

Stock Market Today, Nifty, Bank Nifty:  Nifty, Sensex may recover on Tuesday after falling over one and a half percent on Monday.  The Nifty futures on the Singapore Exchange were trading 57 pts or 0.34% higher at 17,082.00 in the early morning trade. Asian markets were trading in green with China’s Shanghai Composite index rising 13.90 pts or 0.43% at 3,248.78, Hong Kong’s Hang Seng climbed 198.55 or 1.04% to 19,199.26 and South Korea’s KOSPI advanced 17.43 pts or 0.73% to 2,396.73. In Japan, the stock market remained closed on Tuesday. The US market ended Monday’s session in positive territory with Dow Jones Industrial Average rising 382.60 pts or 1.20% to 32,244.58, S&P 500 climbing 34.93 pts or 0.89% to 3,951.57 and the tech-heavy Nasdaq advancing 45.02 pts or 0.39% to 11,675.54. On Monday, the NSE Nifty 50 plunged 111.65 pts or 0.65% to 16,988.40, BSE Sensex tanked 360.95 pts or 0.62% to 57,628.95. In sectoral indices, Bank Nifty tumbled 236.15 pts or 0.60% to 39,361.95, Nifty IT fell 1.43%, Nifty Auto fell 0.93%, Nifty PSU Bank was down 0.74% and Nifty Metal declined 2.35%.

Nifty outlook

Nifty first support at 16899 and then 16761

Nifty first support is placed at 16899 and then 16761 and resistance is seen at 17143 and 17248, according to Rahul Sharma, JM Financial.

“Volume profile indicates Index has a strong support around 16750-16850 zone.  Coming to the OI Data, on the call side, the highest OI observed at 17100 followed by 17200 strike prices while on the put side, the highest OI is at 16800 strike price,” said Deven Mehata, Equity Research Analyst at Choice Broking.

Nifty key hurdle at 17150

“For Nifty 17150 is to be seen as a key hurdle because any sustained move above this would provide some sigh of relief for optimist traders. This is possible only if we see a strong relief move in the global markets. On the flip side, 16900 followed by 16800 is to be seen as a sacrosanct support zone. Markets are extremely oversold, and we are placed around a cluster of supports; hence, we continue to remain hopeful and expect some respite in the coming days. As a caveat, one should avoid aggressive bets and keep a close tab on global developments, because such financial issues can be very lethal at times,” said Sameet Chavan, Chief Analyst-Technical and Derivatives, Angel One Ltd.

Nifty established bullish hammer candlestick pattern

“With a false breakdown of the prior bottom of 17850, Nifty technically established a bullish hammer candlestick pattern, which is a bullish indication. For any rally intended to cover short positions, it must first cross the 17070 level,” said Santosh Meena, Head of Research, Swastika Investmart Ltd. 

Nifty may move up towards 17250

“Nifty formed a hammer-like pattern on the daily chart, suggesting a reversal in the prevailing trend. On the daily chart, it fell below 16950 only to close a bit higher. The momentum indicator remained in a bearish crossover with a reading below 40. On the hourly chart, the index has moved higher following a consolidation. The RSI on the smaller timeframe has entered a bullish crossover. On the higher end, the index may move up towards 17250. On the lower end, closing basis support remains intact at 16950,” said Rupak De, Senior Technical Analyst at LKP Securities.

Nifty immediate support stands at 16800–16850

“We expect the Nifty to continue with the positive momentum which has started during the second half of yesterday’s trading session for the next trading session as well. On the upside, the immediate hurdle stands at the 17145 – 17200 zone where the previous swing high is placed. The immediate support stands at the lower end of the downward-sloping channel 16800 – 16850,” said Jatin Gedia, Technical Research Analyst, Sharekhan by BNP Paribas.

Bank Nifty outlook

Bank Nifty first support at 39134 and then 38764

Bank Nifty first support placed at 39134, and then 38764 and resistance at 39817 and then 40130, according to Rahul Sharma, JM Financial.

Bank Nifty may move toward 40200–40800 if it holds above 39700

“Bank Nifty is doing somewhat better, the 200-DMA around 39700 is functioning as an immediate barrier; over this, we can expect a move into 40200 and 40800 levels for short-covering,” said said Santosh Meena, Head of Research, Swastika Investmart Ltd.

Bank Nifty resistance is placed at 39900-40050

“Bank nifty has support at 38700-38900 while resistance is placed at 39900-40050 range,” said Deven Mehata, Equity Research Analyst at Choice Broking.

Bank NIfty remains in buy mode 

“The Bank Nifty bulls managed to hold the support of 39,000 and formed a hammer pattern on the daily chart. The index remains in buy mode as long as it holds the support of 39,000 on a closing basis. The immediate upside hurdle is visible at the 39,700 – 39,800 zone and a break above this will lead to further short covering on the upside,” said Kunal Shah, Senior Technical & Derivatives Analyst at LKP Securities.

Source:financialexpress.com

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