Nifty Outlook and Trend for 24th Apr 2019

Medium Term Trend: ↑(UP)

Market update: Nifty Opened at 11600 levels and tried pushing its way up but met with a stiff resistance at 11650 levels. Once it became clear that markets are not able to push higher, Bears got active again and pushed nifty down below 11600 levels. It closed down at 11575 levels down 20 points.

 

Markets failed to cross 11650-11700 levels but 11540 levels was not broken either so for now there is still hope for bulls but that doesn't mean that one should go long here. Long positions should have been exited last week itself  (We already exited our longs around 11750/11800 levels last week itself). Now fresh longs are advised only above 11700-720 levels now.

 

Yesterday, Nifty had added around 29 lakh shares in 11700 Call (April), which has almost made it virtually impossible for Nifty to cross 11700 in this month ( atleast before expiry).

 

We had mentioned yesterday that Nifty must protect the lows of 11540 for next 3 trading sessions ( till expiry atleast). If this level is protected then there is still a probability of Nifty moving up further from here. One day is passed and Nifty somehow defended 11550 levels now remains to be seen if it can be defended tomorrow. weakness below 11540-520 levels will indicate that probably the near term top is done for now and the entire upmove which we saw recently ( 10600 to 11850) is ready to be corrected. Now to what extents it gets corrected will be something we need to analyse later only.

  

For now, same view as yesterday, keep an eye of 11540-520 levels & if it gets broken then more weakness is likely and on the other hand if it sustains and Nifty crosses 11700-11720 levels then we can hope to see another rally and higher levels in Nifty. Hence fresh long should be executed only above 11700-11720 levels. Medium term trend will change to down once 11500 level is breached. VIX is moving up daily and is sitting at 25 now, so if you decide to go long/short then keep in mind that markets can be choppy and intraday swings can be pretty huge so keep proper stoploss and then only trade.

 

To join us for daily/ real time whatsapp updates :- http://niftywaveindia.blogspot.com/2019/02/join-us-on-whatsapp-how-to-subscribe.html


Happy Trading!!