Market Outlook for 12 October 2023
Nifty started another session on a positive note and rallied higher to surpass the 19800 mark. The index consolidated in a range for most part of the day, but managed to maintain its strength and ended above 19800 with gains of over half a percent.
After crossing the immediate hurdle of 19675 on Tuesday, we witnessed a follow up buying in Wednesday’s session confirming a ‘Higher Top Higher Bottom’ structure again on the Nifty index. However, the Bank Nifty traded within a range on its weekly expiry day and did not show much relative strength. The RSI oscillator on the Nifty has already given a positive crossover indicating a resumption of the positive momentum. Hence, we could see the index heading higher in the near term and thus traders should trade with a positive bias. FII’s have covered marginal shorts but still significant short positions are there in the system. A continued strength in the index could lead to covering of these positions which would add fuel to the rally. For the weekly expiry day, a move above 19850 could then lead to a positive momentum in the index as it has closed right in the 18800-18850 resistance zone. On the flipside, 19700 followed by 19660 will be seen as immediate support on any declines from here.
Nifty extended its upmove; cement stocks witnessed buying
A lot of stock specific buying interest has been seen in the last couple of sessions with realty witnessing a breakout first and now buying seen in cement stocks. Traders should for such sectoral moves where good price volume action is seen and one should trade with a positive bias in such names.
|Nifty Levels||Bank Nifty Levels||FINNIFTY Levels|