Business & Investment

Nifty: Tech Views: 13,800 is the level of success or failure of Nifty.

Union budget market Last week’s direction. The index has fallen nearly 8% from last week’s record high.technical Analyst Said NiftyClosed 1.3% at 13,634.60, faces resistance at 13,800 and is expected to head towards 14,000-14,200 above that level. They said that if the index falls below 13,400-13,500, it could fall to 13,100-13,300.

Nagara Jishetti

Technical Research Analyst, HDFC Securities

What is your outlook for this week?

The formation of a bullish inversion can be premature to predict, as it is close to the important top inversion pattern. However, the bearish candlestick pattern of the three black crows is still intact and its negative impact is unfolding on the market. After a four-month gap, a long negative candle was formed on the weekly chart. This weekly candle broke the 10-week EMA immediate support at 13,720. Therefore, this market behavior could be a confirmation of the top reversal pattern, according to the larger time frame chart. The market is volatile ahead of the budget. Historical budget studies over the last 7-8 years have shown an increase in post-event trends (uptrend or downtrend). With soaring in the last few months, further weaknesses cannot be ruled out after the budget.

What should investors do?

The short-term trend of Nifty is declining, and the recent upward trend has reversed sharply. Now it’s time to profit from long position transactions or protect longs with the right stop loss. Budgets can play an important role in determining market direction. Rising from here can encounter strong resistance of about 13,850-14,000 levels against Nifty.The next downside is that we aim to monitor around 12,800 to 13,000 next month.

Darmesh Shah

ICICI Securities Head Technical

What is your outlook for this week?
The current profit-taking phase, which precedes the budget, is a healthy overall trend. We do not anticipate that Nifty will ever violate the key support threshold of 13,400-13,500. Nifty expects to reach 14,000 in the coming weeks, so it’s time to build up high-quality stocks. On-going revisions are approaching price and temporal maturity, as the mid-term decline since March 2020 has not lasted for more than a week and the average revision is 8-10%. In the current scenario, the index has been modified by 8% in the last 6 consecutive sessions, with daily stochastics placed in the oversold territory, indicating an imminent pullback. Buy demand is expected to occur near the main support zone of 13,400-13,500. In the process, a wider market will outperform.

What should investors do?

Event-based volatility offers step-by-step purchasing opportunities in key support zones from 13,400 to 13,500. Investors are encouraged to adopt a high quality large and medium cap buying strategy to take the next step in the upward movement. We expect banks, consumers, infrastructure, and PSUs to lead the rally. We continue to work constructively at TCS, Axis Bank, Larsen & Toubro, Bajaj Electrical, PNC Infra, Amber Enterprise and Bharat Electronics.


Derivative analyst, Motilal Oswal

What is your outlook for this week?

Nifty has paused with positive momentum after a strong recovery over the past decade, from 7,511 to the recent lifetime high of 14,753. However, the main market trends are still bullish. Nifty has already fallen by more than 1,000 points and is currently trading near 50-DEMA (Daily Moving Average). According to recent price and data settings, short-term trends are under pressure, but can help with minor bounces after a decline from higher zones and support near the major moving averages. .. To bounce towards the 14,000 and 14,200 zones, you need to hold over 13,800. Otherwise, weakness in the global market could lower the index to the 13,300 and 13,133 zones.

What should investors do?

Investors can take advantage of this decline as an opportunity to buy many high quality stocks from the banks, FMCG, automotive and insurance sectors.risk avoidance trader The index has already risen 96% from the March panic low of 7,511, allowing us to adopt a hedging strategy to protect our long portfolio. Buy bare put spread (+13700 PE-13200 PE) at a premium cost of about 1.25% in the monthly series on February 25, 2021 to protect the downside of 5% up to the main main support of 13,131-13,200 can.

Nifty: Tech Views: 13,800 is the level of success or failure of Nifty. Nifty: Tech Views: 13,800 is the level of success or failure of Nifty.

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