Next week of Nifty is Very important for trend directions
Nifty is in crucial Range 9400- 9460
In last week we could see buy on dips and profit bookings on high levels. Nifty has made crucial range of 9400 – 9460. Last week awaiting major break-out seen above 9460 on closing basis. Last week nifty witnessed all time high level 9532 on Wednesday. This week first three days nifty trade in green and make new milestone, after that nifty shows profit booking.
On one day chart we can see nifty had taken support of ATR 142. On 29 /12/2016 nifty had crossed ATR 142 on positive site. After that nifty never looked back. Continuously made higher highs and higher lows. On 17/4/2017 nifty had crossed it in negative side but within three trading session nifty came back with full pressure and gave positive cross over. After that day nifty has started its journey heading toward all-time high levels. In below image we can check how Nifty50 follows ATR 14-2 (i.e. Supertrend) very promisingly.
If we check nifty on weekly chart it has made higher high and higher low so it is perfect sign of continuous positive trend. We also apply pivot points here. It also shows nifty had tried to touch Resistance 2 level and gave profit booking. Resistance level 2 is on 9540 and nifty 50 made high of 9532 and gave closing on 9525 on Wednesday.
Monsoon Report of IMD suggesting good monsoon so banking sector and fertilizer sector next quarter will show good results, as we are agricultural dependent country good monsoon giving us positive momentum for market upside. Coming week is very important for future trend directions. When market will in dips accumulate stocks in this year because yearly target of nifty is 9700- 10300.
- Anand Singh Gaur
- Sunil Kothari