MARKET TRENDS:
Global cues: Neutral
FII: (-1944.20 crores)
DII: (+3661.10 crores)
Sentiment: Risky
Market Breadth: Negative
Technicals: Overbought conditions
F&O: 25500 – 26500 zone.
INDIA VIX 10.82 (-3.52%)
USD/INR Futures (December) (90.04)
NIFTY PCR (30th December) 1.11
Bank Nifty PCR (30th December) 0.91
Nifty Outlook: Strong domestic liquidity and supportive global cues are still propping up the bull case.
But the rally’s staying power now hinges on two swing variables — the weakening INR and the cautious stance of FIIs.
For the moment, the bears appear to have the marginal advantage.
WHAT TECHNICALS TELLS US ON NIFTY & BANK NIFTY:
NIFTY (CMP 26034):
SUPPORT: 25703/25317
RESISTANCE: 26203/26327
RANGE: 25800-26150
BIAS: Negative
21 DMA: 25946
50 DMA: 25612
200 DMA: 24631
SENSEX (CMP 85265)
SUPPORT: 84100/82671
RESISTANCE: 85770/86160
RANGE: 84500-85500
BIAS: Negative
21 DMA: 84800
50 DMA: 83626
200 DMA: 80784
BANK NIFTY (CMP 59289)
SUPPORT: 58700/57157
RESISTANCE: 60100/60900
RANGE: 58700-59700
BIAS: Negative
21 DMA: 58869
50 DMA: 57615
200 DMA: 54925
Nifty: Nifty opened on a cautious note in Thursday’s trade, but the positive takeaway was that bulls regrouped at lower levels and bullish consolidation was the order of the day.
The index, closed above the flat line, and most importantly, above the psychological 26000 mark — indicating bulls aiming to take over the control.
Nifty is still above its 21 DMA (25945), 50 DMA (25612) and its 100 DMA (25247). Nifty’s 200 DMA at 24631 mark.
Nifty’s hurdles seen 26327 mark.
The technical landscape suggests Nifty’s major support at 25871/25703 mark.
Nifty’s chart of the day suggests the structure still tilts towards bears amidst overbought technical conditions. The make-or-break support at 25703.
Bank Nifty: Bank Nifty (-0.10%) inched lower after a volatile trade as the losing streak continued for 2nd straight day.
Bank Nifty’s all-time-high continue to be at 60,114.05 mark.
Nifty Private Bank Index (-0.01%) witnessed uninspiring session and so did Nifty PSU Banks index which was marginally 0.04% higher.
The shares of PSU banks remained sluggish after government clarified that it has no plans to raise foreign direct investment (FDI) limit in these lenders from 20 percent to 49 percent.
Intraday support for Bank Nifty now seen at 58900/58300/57157 mark on closing basis.
In today’s trade and in near term, Bank Nifty is likely to face resistance at 60100 mark. Bank Nifty’s 200-DMA is placed at 54925 mark. Bias on Bank Nifty continues to be neutral.
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