Nifty may test 20,464 on the upside; Bank Nifty can surge past 48,000

Ravi Nathani, an independent technical analyst, says that despite the need for caution, the market remains generally bullish.

NIFTY 50 INDEX

The Nifty 50 Index is currently on a short-term bullish ride, showing positive signs in the Indian stock market. It recently hit its initial target of 20,180, drawing attention to the next big milestone at 20,464, a significant resistance level.

But here's the catch: 

While the short-term outlook is positive, traders must remain cautious. If the index closes below 19,980, profit booking may kick in, causing a short-term correction. In this scenario, keep an eye on support levels at 19,900 and 19,825 – these points could act as price stabilizers during the correction.

Despite the need for caution, the market remains generally bullish. This presents a golden opportunity for traders to buy when the index dips. This approach complements the overall upward trend, offering a smart strategy in today's market. 

 

In a nutshell, the Nifty 50 Index is showing promise in the short term. Traders should stay patient, manage risks carefully, and be ready to capitalize on opportunities as they arise in this evolving market.

NIFTY BANK BUY ON DIPS

The Bank Nifty Index currently stands at 46,231.50, and it's showing a bullish trend on the charts. This optimism is expected to continue in both the near and short term. However, before celebrating too much, there's a minor obstacle at around 46,370. Once we clear this hurdle, we can anticipate a quick and strong rally.

In this bullish scenario, we're looking at the first resistance around 47,050 and the next one at 48,080. 

So, what's the best move for traders here? 

Buying the index when it dips near key support levels is a promising strategy. These crucial support points are at 46,050 and 45,775. Alternatively, you can consider entering the market when the index rises above 46,370. 

In simple terms, the Bank Nifty Index is on a path to short-term success. By staying alert and taking advantage of buying opportunities near support levels, traders can ride this wave of upward momentum.

Disclaimer: I do not hold any positions in the Indices mentioned above and this is not an offer or solicitation for the purchase or sale of any security. It shoul

(Ravi Nathani is an independent technical analyst. Views expressed are personal).