Market Outlook for 31 October 2024
Weekly Market Outlook for 16 October to 20 October
Last Updated: 16th October 2023 - 10:46 am
In the week gone by, Nifty traded within a range of 400 points but the index swayed on both the sides due to several news flows. The negative geopolitical news from Israel had an initial impact at the start of the week. Markets recovered from the lows but it again witnessed some correction towards the end of the week and finally Nifty ended around 19750 with weekly gains of half a percent.
Nifty Today:
The global news flows had a significant impact on our markets since the second half of September due to which our markets entered a corrective phase post forming high around 20200. However, post the initial price wise correction, the index recovered from the support of 19300 and then formed a higher support base at 19500-19450 range. FII had formed short positions at the start of the series, but have started covering some of their short positions now. But still more than 70 percent of their positions are on the short side and it needs to be seen if they cover further positions in the coming week. On the shorts, the RSI oscillator is hinting at a positive momentum on the daily chart and hence, till the above mentioned supports are intact, one should trade with a positive bias and look for buying opportunities on declines. While the immediate support base is placed at 19500-19450 range, the resistance is seen around 19850-19900. A move above this could then lead to a momentum towards new highs.
Nifty forms a higher support base at 19500-19450
There's a lot of stock specific action seen as the corporate announces their quarterly results. The Nifty midcap index has gone through a time-wise corrective phase in last one month and has not breached its 40 DEMA intact. This indicates that stock specific momentum is likely to provide better trading opportunities and hence, short term traders are advised to capitalize on the same.
Nifty, Bank Nifty Levels and FINNIFTY Levels:
Nifty Levels | Bank Nifty Levels | FINNIFTY Levels | |
Support 1 | 19655 | 44000 | 19760 |
Support 2 | 19825 | 43780 | 19700 |
Resistance 1 | 19825 | 44500 | 19920 |
Resistance 2 | 19900 | 44710 | 20000 |
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