Daily Nifty Technical Outlook by Finvasia

CNX Nifty witnessed sharp selloff in yesterday’s session and dropped more than 100 points from intraday highs amid liquidity contraction. The fifty share index tested the support of 6150 and rebounded to close 0.81% or 50.50 points lower from previous close at 6166.65. If nifty extends the losses from here, we will see it taking near term support at 6080. Any break down below that, will take it to 5960 levels. However, if nifty rebounds from here, it will face intermediate resistance at 6200. Crossover above that may take nifty to 6230 and 6300 levels, respectively.

Source: Finvasia Research

CNX Nifty witnessed an upward trading session on Friday and breached above the crucial resistance level of 6230. The one direction move of fifty share index led it to close 1.74% or 107.6 points higher at 6274.25. If nifty corrects from here, we will see it marching towards 6230 level and below that at 6150. If it continues to move higher, it will face immediate resistance at 6300 and above that at 6357. If it decisively breaks 6357 the next important resistance will come at all time high of 6415.

Source: Finvasia Research

On Monday, CNX Nifty traded in a range around 6300 for nearly whole of the morning session and slipped lower in the last one hour. The fifty share index ended 10 points or 0.16% higher from the previous close at 6284.50. On the upside, Nifty has a very strong resistance in 6350 to 6370 range and if it breaks this range decisively, the next resistance will come at 6415 which is its all time record high. However, if nifty fails to test these resistance levels and corrects from here, we will see nifty marching towards the crucial support of 6230 and below that at 6150.

Source: Finvasia Research

On Tuesday, CNX Nifty flirted with 6300 mark for nearly whole of the morning session and broke on the downside. In the noon session, nifty traded in a range on the downside amid subdued session and closed 16.10 points or 0.26% lower at 6268.40. On the upside, nifty has a strong resistance at 6300 and above that at 6357. Any crossover above that will take nifty to all time high of 6415. However, if nifty retreats from here, it will face immediate support at 6230 and below that at 6150.

Source: Finvasia Research

On Thursday, nifty witnessed a range bound session with positive bias amid December derivatives expiry. After trading with volatility in a narrow range, nifty ended the last day of December options expiry 10.5 points or 0.17% higher at 6278.90. The fifty share index has an immediate resistance placed at 6300 levels and above that in 6350 to 6360 range. If it breaches above this level decisively, the bulls will actively participate in the rally. However, if it retreats from here, the benchmark index will decline to 6230 levels and below that at 6150. Any breakdown below these levels will take nifty towards 6080 mark.

Source: Finvasia Research

On Friday, CNX nifty started the session marginally higher and traded in a narrow range above 6300 mark amid lack of fresh clues from the global as well as domestic markets. After consolidating above 6300 mark, fifty share index ended 0.56% or 35 points higher at 6313.80. Going forward, if nifty continues marching higher; it will take immediate resistance in the range of 6350 to 6360. If the benchmark index breaks this level and sustains, the next resistance will come at 6415. Though, if nifty retreats from here, the immediate support will come at 6230 and below that at 6150 and 6080, respectively.

Source: Finvasia Research

On Wednesday, CNX Nifty traded with volatility in a range bound session and flirted with 6300 levels. In the late noon session, fifty share index slipped in red and closed flat at 6301.65 being 0.04% or 2.35% lower. Going ahead, if nifty inclines towards north; it will face strong resistance in 6350 to 6360 range. If it breaches above that and sustains, the next resistance will come at 6415. On the downside, nifty has a key support at 6230 and below that at 6150. Any breakdown below 6150 will take it to 6080 level.

Source: Finvasia Research

On Thursday, CNX Nifty started the session above 6300 mark and marched in the key resistance zone of 6350 to 6360. After testing the resistance zone, nifty retreated and dropped sharply to close the session below the key support level of 6230 at 6221.15 being 80.5 points or 1.28% lower. Going ahead, if nifty continues to correct, we will see it taking immediate support at 6150 and below that at 6080. If nifty extends the downtrend and breaches below 6080, the next vital support will come at 5960. On upside, the immediate resistance is at 6230 and above that at 6300. If nifty surpasses above this level and sustains, the next key resistance will come at 6360.

Source: Finvasia Research

On Friday, CNX Nifty started the session below 6200 mark and slipped further till the noon trading session. However, short covering in the last few hours led fifty share index to shut the volatile trading day on a flattish negative note at 6211.15 being 10 points or 0.16% lower from prior close. Going forward, nifty is likely to remain in a broader range for few days before witnessing a decisive move. If the fifty share index drops from here, it will face immediate support at 6130 and below that at 6080. Any further breakdown will take nifty to 5960 levels. On the upside, nifty has a key resistance at 6230 and above that at 6300.

Source: Finvasia Research