Market Outlook for 21 October 2024

Nifty Prediction for - 21 October

Our markets corrected sharply in last one week led by FIIs selling. Nifty tested the 89EMA support of 24600 and witnessed some pullback in the last trading session to end above 24850 with a weekly loss of about half a percent.

Nifty has seen a corrective phase in the month of October so far, which has been mainly led by FIIs selling. In the last week, the index witnessed resistance around 25200-25250, and corrected to test the 89 EMA support of 24600. This average played its role and much required relief rally was seen on Friday.

\Hence, 24600-24500 now becomes a sacrosanct zone for the near term. Till this support is intact, one can expect either an upmove or a consolidation in the coming week. On the higher side, the swing high of 25200-25250 is the immediate resistance zone which needs to be surpassed for a resumption of the positive trend. FIIs have net short positions in the index futures segment and have been selling in the cash segment too.

One should keep a close watch on their numbers as any sign of short covering by them would be the trigger for the markets to rally. 

Traders are advised to trade with a positive bias and look for stock specific opportunities in the coming week with a stop loss below 24500 on the index. However, one should be very specific and add aggressive positions on a breakout above 25250.
 

Nifty recovers from its support, 24600-24500 crucial zone

Bank Nifty Prediction for - 21 October

The Nifty Bank rebounded sharply on the last trading session and surpassed the 52000 mark. The RSI oscillator on the daily chart of the banking index remains positive which hints that the momentum could continue. The immediate supports for the index are placed around 51670 followed by 51000 mark and till these levels are intact, one should trade with a positive bias.

Intraday levels  for Nifty, Bank Nifty Levels and  FINNIFTY Levels: