Daily Nifty Technical Outlook by Finvasia

On Friday, Indian equity markets extended losses for second straight session on profit booking after recent rally. CNX nifty ended the session 0.62% lower at 6694.55. Form last 2 days nifty has witnessed correction from record high levels as investors booked in frontrunner stocks. However, as long as nifty trades above 6610 levels, the underlying momentum is strong and there could be attempt to retrace back. If nifty move higher in today’s trading session, it will take immediate resistance at 6730 and above that at 6780. While if nifty extend decline, it will face near term support at 6660 and below that at 6610 which is key support level to watch.

Source: Finvasia Research

On Monday, Indian equity markets settled flat in a volatile trade session. After mainly trading in negative terrain, Indian equity markets made a strong comeback in late trading hour. CNX Nifty ended the session 0.03% lower at 6692.65, marking third consecutive negative closing. Going forward, Indian equity markets are expected to trade with positive bias till the time it stay above 6610 level. If nifty extends gains in today’s trading session, it will face immediate resistance at 6730 and above that at 6780. On the down side, nifty has strong support at 6650 and below that 6610 is crucial level to watch.

Source: Finvasia Research

On Thursday, Indian equity markets moved lower as investors booked profit after previous day’s sharp gains. Indian markets had opened in positive terrain after minutes released from US Federal Reserve meeting showed that members were in favor of keeping interest rate low for longer period of time. After trading above a crucial mark of 6800, nifty witnessed selling pressure in late trading hour. Fall in index heavyweight ITC, Infosys and ICICI bank pulled the benchmark index lower. CNX Nifty ended the session 0.22% lower at 6781.35. Going forward, if nifty extends decline it will take support at 6750 and below that 6700 which is key level to watch. On the higher side, 6830 is key level to watch and breach above this level will trigger further buying in the index with next level to 6900.

Source: Finvasia Research

On Tuesday, Indian equities markets fell for second consecutive sessions with CNX nifty logging its worst decline in five weeks. Interest-rate sensitive stocks registered sharp losses as higher than expected rise in wholesale inflation diminished the rate cut hopes in near term. Selling by foreign investors also weighed on the sentiments. Foreign Institutional Investors (FIIs) sold equities for second straight session on Tuesday as weak domestic economic data raised concerns over economic growth outlook. CNX nifty ended the session 0.64% lower at 6733.10. Going forward, if nifty index unable to surpass its key resistance zone of 6800-6820, we may see some correction in coming days. On the down side, nifty has immediate support at 6700 and below that 6650 which is crucial support level to watch. On the up side, nifty will face immediate resistance at 6775 and above that at 6820.

Source: Finvasia Research

CNX nifty scaled new high on Monday led by gains in banks, mining and capital goods stocks. Fresh long positions were taken in index heavyweights ICICI Bank, Maruti Suzuki and Axis bank ahead of their Q4 earnings results this week. Sentiment was also lifted in metal and mining stocks after Supreme Court lifted ban on iron ore mining in Goa. CNX nifty settled the session 0.56% higher at 6817.65, the new record high settlement. Technically, the underlying movement is strong in domestic equity markets. If nifty manages to breach its crucial resistance zone of 6820-6840, we may see further buying in the markets. On the resistance side, nifty has resistance at 6840 and if it breaches above this level, the next resistance level to watch is 6890. On the downside, nifty will take immediate support at 6770 and below that at 6720.

Source: Finvasia Research

CNX nifty settled flat on Tuesday after hitting fresh record high as cautious sentiments prevailed ahead of expiry of month contract derivatives. Traders also booked profits in recent front-runner stocks such as SBI, tata steel and M&M, though buying from foreign investors and gains in capital goods stocks offset these losses. Foreign Institutional Investors (FIIs) remained net buyers in Indian equity markets to the tune of Rs 162.93 crore on Tuesday. CNX nifty ended the session 0.03% lower at 6815.35. The underlying moment is positive in domestic equity markets and if benchmark index manages to breach it key resistance level of 6840, we may see further build up in long positions. However, in today’s trading session we may see some volatility due to April F&O expiry. On the resistance side, nifty has strong resistance at 6840and above that, index will take resistance at 6890. On the down side, nifty has strong support at 6770 and below that at 6720.

Source: Finvasia Research

On Wednesday, Indian equity markets scaled new highs on last days of April F&O expiry day, boosted by strength in capital goods and financial stocks. Robust earnings from some of the major corporate also added to positive sentiment. The 50-share index settled 0.37% higher 6840.80, fresh record high closing. Indian equity markets were closed on Thursday on account of elections in Mumbai. Markets had recorded another impressive session in run-up to election results outcome day i.e May 16. Going forward, markets are expected to trade with positive bias as investors remained optimism that next government will take bold decision to boost economic growth recovery. However, rising geopolitical tension in Ukraine may hurt investing sentiments. On the resistance side, nifty has immediate resistance at 6860 and above that at 6910. On the lower side nifty will take support at 6800 and below that at 6750.

Source: Finvasia Research

On Friday, Indian equity markets retreated from record high levels on the back of profit booking and weak corporate earnings from index heavyweight ICICI bank. The market had flattish too positive start for the day on continuous buying from foreign investors. However, markets witnessed selling pressure in second half of the session as weakness in cement stocks and index heavyweight ICICI bank led the index lower. CNX nifty ended the session 0.85% lower at 6782.75. Nifty has strong resistance in the zone of 6840-6850 and in last trading session we saw nifty failed to sustain above this levels. To confirm upward trend, nifty has to breach its key resistance of 6850. On the support side, nifty has support at 6750 and 6690. On the resistance side, nifty will take resistance at 6820 and at 6850.

Source: Finvasia Research

On Monday, Indian equity markets declined for second straight session, weighed down by profit booking in blue chips companies and subdued global cues. Investors also remained wary because of rising geopolitical tensions in Ukraine. CNX nifty ended the session 0.32% lower at 6761.25, registering losses for second straight session. Going ahead, Indian markets are expected to trade with cautious stance as investors awaited the outcomes of FOMC two-day policy meeting outcomes on Wednesday, which will give further clues regarding futures course of fed’s bond buying program. On the resistance side, nifty will take resistance at 6800 and above that at 6840. On the downside, the index will take support at 6750 and below that at 6690.

Source: Finvasia Research