Nifty Outlook -2-Dec-2022
Last Updated: 9th December 2022 - 10:14 am
After the sharp upmove in the U.S. markets yesterday, our markets started the day on a positive note and almost tested 18900 at open. However, we witnessed some consolidation for the rest of the day and Nifty ended the day tad above 18800 with marginal gains of about three-tenths of a percent.
Nifty Today:
Our markets continued to make record highs as the global markets reacted positively to the Fed Chairman’s statement on possibility of smaller interest rate hikes going ahead. Nifty is just a distance away from testing the 19000 mark which would be another milestone to achieve in this rally. However, from a short term perspective, the momentum readings on the lower time frame chart have reached the overbought zone which needs to cool-off. Such overbought situations generally lead to either a time-wise correction or a price-wise corrective phase in the short term. Hence, the risk reward to chase the index at current levels is not very favorable. But the broader markets have recently witnessed buying interest and are now showing some catch up move. Hence, at the current juncture it is better to book profits in the index long positions and focus on stock specific approach where one could get better returns in the near term. The immediate supports for Nifty are placed around 18730 and 18630 while resistance will be seen in the range of 19000-19100.
Nifty continues to clock new records as global markets rallied
Amongst sectoral moves, the cement sector witnessed a good move as expected while the Nifty Realty index gave a breakout from its resistance zone. Hence, one can look for opportunities in stocks from the realty sector in the coming session.
Nifty & Bank Nifty Levels:
|
Nifty Levels |
Bank Nifty Levels |
Support 1 |
18730 |
43070 |
Support 2 |
18630 |
42880 |
Resistance 1 |
18960 |
43480 |
Resistance 2 |
19050 |
43705 |
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