Market Outlook for 07 August 2024

Ruchit Jain Ruchit Jain

Last Updated: 12th August 2024 - 05:58 pm

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Nifty Prediction for Tomorrow - 07th August

Our markets started the day on a positive note as the global markets hinted at a recovery post Monday’s sharp correction. However, as the day progressed we witnessed selling pressure and the Nifty ended the day on a negative note below 24000.

Post the sharp sell-off in the market on Monday, Nifty witnessed a pullback move at open. But the sell-off during the day clearly indicates continuation of the nervousness amongst market participants and technically too, there are no signs yet of markets forming a strong support base.

The Nifty resisted around 24300-24350 which needs to be surpassed for any strong pullback move else we might see a continuation of the down move towards the support of 23630 which is the 38.2 percent retracement of the up move from the election results day low. Hence, we continue with our advice for traders to stay cautious for the short term and wait for signs of reversal. 

 Selling pressure continues due to near term uncertainty

nifty-chart


Bank Nifty Prediction for Tomorrow - 07th August

bank nifty chart

 

The Nifty Bank index continues with its underperformance as significant selling pressure was seen in the banking and the NBFC stocks. The index has ended around the near term support of 49700 which is the 50 percent retracement level of the recent upmove.

However, since there are no signs of strength seen, a breach of this level could lead to the index continuing its correction towards the 61.8 percent retracement which is placed around 48860. Hence, one should stay cautious and wait for signs of trend reversal.

 

Nifty, Bank Nifty Levels and  FINNIFTY Levels:

  NIFTY Levels SENSEX Levels BANKNIFTY Levels FINNIFTY Levels
Support 1 23690 77600 49370 22320
Support 2 23420 76800 49000 22120
Resistance 1 24300 79460 50400 22900
Resistance 2 24500 80300 51050 23280

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