Market Outlook for 13 February 2024

Ruchit Jain

Last Updated: 13th February 2024 - 11:10 am

Nifty started the week on a flat note around 21800, but it traded with a negative bias throughout the day and ended just above 21600 with a loss of three-fourth of a percent. However, sharp selling pressure was seen in the broader markets as the PSU stocks corrected sharply and the Small Cap and Midcap indices corrected by 4 percent and 2.5 percent respectively.

Nifty Today:

The broader markets witnessed a sharp correction in Monday’s session which was much expected as post the recent run up, the RSI in the midcap index had indicated a negative divergence. Such divergences usually lead to corrective phases and thus, we have been witnessing such a correction in broader markets. Even in the index, Nifty has recently formed a ‘Double Top’ at its recent swing high and it has even closed below its 20 DEMA. Thus, this correction could extend upto its next support which is placed around 21450-21400.

The RSI oscillator has given a negative crossover on the daily chart of Nifty and in the derivatives segment, FIIs are on the short side in index futures. Hence, until we see any change in the data or chart structure, we continue with our cautious approach in the markets and advise short term traders to stay light on positions. On any pullback moves, 21750 and 21830 will be the immediate resistance now.

Midcaps and Small Cap stocks corrects sharply due to profit booking

Nifty, Bank Nifty Levels and FINNIFTY Levels:

	Nifty Levels	Bank Nifty Levels	FINNIFTY Levels
Support 1	21520	44430	19750
Support 2	21420	43970	19580
Resistance 1	21780	45100	20000
Resistance 2	21830	45540	20160

How do you rate this article?

Characters remaining (1500)

View All

Disclaimer: Investment/Trading in securities Market is subject to market risk, past performance is not a guarantee of future performance. The risk of loss in trading and investment in Securities markets including Equites and Derivatives can be substantial.

FREE Trading & Demat Account

+91