Nifty showed uncertainty in the weekly charts for the previous week after opening gap up for the week and closing lower than the opening. Nifty opened at 7908 on Monday 18th, after making a high of 7979, touching monthly highs of 7979 and 7972 of December and January respectively and closed at 7899 which is 50 points higher than the previous close of 7850.The lower close compared to the open suggests buying power has subsided considerably.
What did Bank Nifty Do?
What is surprising is the breakout of Bank Nifty spot 16350 to go up by 370 points to 16769, in just two trading sessions, in which Nifty was negative by 20 points. The trend of Bank Nifty is positive and the now the next trend deciding levels for the Bank Nifty is 16769 on the upside, if this level is broken and if sustains above it, then the next target is 16966 as per Dynamic Levels since this is the weekly target.
The Road Ahead
On the downside, if Bank Nifty trades below 16526 and Nifty trades below 7866 then markets will be weak and in all probability Nifty can touch 7715 to 7730. In the last 4 days Nifty has closed in a cluster of 20 points between 7899-7915 so one can expect a big movement in Nifty in the next few trading sessions.
The events to looks for next week are:
- The Parliament Session starts on 25 April where the fate of GST will be watched very closely by the markets.
- The US fed meeting is scheduled on 27 April 2016,
- Bank of Japan Credit policy is due on 28 April 2016,
- Lastly we have the expiry in the Indian Markets on 28 April and
With all these event this scheduled this week, one can expect a volatile week where the levels for Nifty is 7980 spot on the upside and 7866 on the downside.
To get more Support and Resistance levels of the share please visit Nifty Forecast
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