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Nifty Financial Services: Rangebound outlook amidst bullish sentiment
Following a notable correction in the near term, the Nifty Financial Services index (last close: 20,022.60) is poised to trade within a defined range of 20,100 to 19,764. A decisive close either above or below this range is likely to trigger significant directional shifts.
Chart analysis indicates anticipated resistance levels at 20,200, 20,300, and 20,465, serving as potential barriers to upward movements. Conversely, support levels are projected at approximately 19,525 and 19,425.
Despite recent fluctuations, the overall trend remains bullish on the charts for the short term. In light of this, investors are advised to consider buying positions near the identified support levels, capitalising on the prevailing bullish sentiment.
Chart analysis indicates anticipated resistance levels at 20,200, 20,300, and 20,465, serving as potential barriers to upward movements. Conversely, support levels are projected at approximately 19,525 and 19,425.
Despite recent fluctuations, the overall trend remains bullish on the charts for the short term. In light of this, investors are advised to consider buying positions near the identified support levels, capitalising on the prevailing bullish sentiment.
Nifty Private Bank: Short-term rangebound trading amid bullish momentum
The Nifty Private Bank (last close: 23,201.85) continues to maintain a bullish trend on the charts, despite its current engagement in a narrow trading range within the near term. The established range oscillates between 23,125 as the lower limit and 23,264 as the upper threshold.
Breaking above the upper range is likely to shift focus to the next resistance levels, projected at 23,536 and 23,900. Conversely, a breach of the lower range around 23,125 could indicate potential support at 22,800, 22,650, and 22,450.
An important threshold to watch for is the 22,450 level. If the index trades below this point in the coming week or fortnight, it could present a prime opportunity for both traders and investors to accumulate the index and its constituents for the short term.
Breaking above the upper range is likely to shift focus to the next resistance levels, projected at 23,536 and 23,900. Conversely, a breach of the lower range around 23,125 could indicate potential support at 22,800, 22,650, and 22,450.
An important threshold to watch for is the 22,450 level. If the index trades below this point in the coming week or fortnight, it could present a prime opportunity for both traders and investors to accumulate the index and its constituents for the short term.
Nifty PSU Bank: Bearish near-term trend supported by MACD indicator
The Nifty PSU Bank index (last close: 4,392.8) exhibits a bearish trend on the charts, a sentiment reinforced by the MACD indicator's readings in the near-term.
The index is anticipated to find support at key levels, projected around 4,280, 4,200, and 3,964. Given the prevailing downward trajectory, a prudent trading approach would involve selling positions either on rallies or near anticipated resistance points.
These resistance levels are estimated to be approximately 4,500 and 4,570. Traders are advised to closely monitor market developments, take heed of support and resistance zones, and align their trading decisions with the identified bearish trend.
The index is anticipated to find support at key levels, projected around 4,280, 4,200, and 3,964. Given the prevailing downward trajectory, a prudent trading approach would involve selling positions either on rallies or near anticipated resistance points.
These resistance levels are estimated to be approximately 4,500 and 4,570. Traders are advised to closely monitor market developments, take heed of support and resistance zones, and align their trading decisions with the identified bearish trend.
Disclaimer: Ravi Nathani is an independent technical analyst. Views expressed are personal. He doesn't hold any positions in the indices mentioned above and this is not an offer or solicitation for the purchase or sale of any security.
