NIFTY OVER VIEW

 

Analysis of Nifty 50 Chart:

• Pattern Identified: Falling wedge pattern, which is typically a bullish reversal pattern.

• Current Price: 23,243.25

• Key Support Levels:

  • 23,237.85 (Current minor support)
  • 23,175.00 (Major support level)

• Key Resistance Levels:

  • 23,261.90 (First resistance)
  • 23,296.55 (Second resistance)
  • 23,341.25 (Major resistance)
  • 23,390.05 (Higher resistance)

Trading Strategy:

Bullish Scenario:

• If Nifty breaks out of the falling wedge pattern with strong volume, we can expect an upward move.
• Target: First target at 23,261.90, then 23,296.55, and extended targets at 23,341.25.
• Stop Loss: Below 23,200 (to avoid false breakout risks).

Bearish Scenario:

• If Nifty breaks down from the support at 23,237.85, further downside can be expected.
• Target: 23,175.00 as the immediate support level.
• Stop Loss for Short Trade: Above 23,261.90.

Indicators:

• RSI (Relative Strength Index) is near the lower range, indicating oversold conditions, which supports a potential reversal.

Conclusion:

• A breakout above 23,250-23,260 zone with strong volume could signal a bullish move towards 23,296-23,341.
• A breakdown below 23,237 could push Nifty towards 23,175.

Nifty 50 Index Analysis for Different Timeframes

1. Short-Term View (Intraday to 1-2 Days)

• Pattern: Falling wedge nearing a breakout zone.
• Support: 23,237 / 23,175
• Resistance: 23,261 / 23,296
• View: If Nifty breaks above 23,261 with volume, a short-term rally toward 23,296–23,341 is possible. A failure to hold 23,237 may lead to a decline toward 23,175.
• Strategy:
  • Bullish: Buy on breakout above 23,261, Target: 23,296–23,341, SL: 23,200
  • Bearish: Short below 23,237, Target: 23,175, SL: 23,270

2. Medium-Term View (1 Week to 1 Month)

• Trend: Consolidation within a falling wedge, potential reversal if breakout sustains.
• Key Levels:
  • Bullish Targets: 23,400 / 23,500
  • Bearish Targets: 23,150 / 23,050
• View: If Nifty sustains above 23,300, a move towards 23,400–23,500 can be expected in the coming sessions. However, breaking below 23,150 could bring further downside pressure.
• Strategy:
  • Buy above 23,300, Target: 23,400–23,500, SL: 23,200
  • Sell below 23,150, Target: 23,050, SL: 23,250

3. Long-Term View (1 Month to 6 Months+)

• Trend: Higher timeframe trend remains bullish despite short-term corrections.
• Major Support: 22,800 / 22,500
• Major Resistance: 23,500 / 23,800
• View: As long as Nifty holds above 22,800, the long-term bullish trend remains intact. A breakout above 23,500 will confirm continuation toward 23,800–24,000 in the next few months.
• Strategy:
  • Buy on dips near 22,800-23,000 for long-term targets of 23,800-24,000
  • SL: 22,500 (for long-term investors)

Final Outlook:

• Short-Term: Watch for breakout above 23,261 or breakdown below 23,237
• Medium-Term: Holding 23,300 leads to 23,500+, below 23,150 is bearish
• Long-Term: Bullish above 22,800, targeting 24,000+ in the coming months