NIFTY FMCG
Bias: Range-bound
Last close: 44,324.35
An analysis of recent data on market prices has shown a trend of stable fluctuation within a limited range, with the lowest recorded price being 43,456 and the highest recorded price being 44,981.
Additionally, an examination of the near-term charts reveals the formation of a triangle pattern when the upper and lower trend lines are joined. The trend of stable fluctuation within a small range, along with the formation of a triangle pattern on charts, suggests that the most advantageous strategy for traders would be to dispose of their assets near the level of resistance at 44,800, which corresponds to the upper trend line.
This is because, at this level, traders can expect to gain the most profit. Additionally, traders should also consider buying assets near the level of support at 43,750, as prices tend to be the lowest at this level.
This approach should be continued until there is a clear understanding of the short-term and near-term market trends.
Intraday No Trade Zone: 44,270 – 44,380
Expected Intraday Resistance: 44,444 – 44,564 – 44,750
Expected Intraday Support: 44,210 – 44,090 – 43,945
NIFTY PHARMA
Bias: Bullish
Last close: 12,593.85
The analysis of the Nifty Pharma Index over the last 10 days has revealed a trend of consolidation within a defined range, accompanied by a negative bias and low trading volumes.
Specifically, the trading range for the index has been between 12,830 and 12,475, and a close above or below this range would likely trigger further movement.
An examination of the Relative Strength Index (RSI) suggests that the lowest range of the index represents the most opportune moment for accumulation, as it has the potential to surprise investors with an outperformance upon a bullish breakout.
In light of this analysis, it is recommended to acquire the index at lower levels, with a target for appreciation set at 13,100 and 13,250.
Intraday No Trade Zone: 12,555 – 12,636
Expected Intraday Resistance: 12,665 – 12,740 – 12,860
Expected Intraday Support: 12,515 – 12,460 – 12,350
NIFTY MEDIA
Bias: Bullish
Last close: 1,898.75
The Nifty Media Index closed with a Doji Candle on near-term charts following a sharp fall, indicating that the selling pressure is likely to dissipate in the short term and that a technical bounce could be expected soon.
Additionally, the RSI index has shown a positive divergence on daily charts, further reinforcing the likelihood of the index outperforming in the near future.
As such, the optimal trading strategy for traders and investors would be to accumulate this index and its constituents at lower levels or at the current market price, with a target of 2040 and 2080.
Intraday No Trade Zone: 1,894 – 1,903
Expected Intraday Resistance: 1,907 – 1,915 – 1,936
Expected Intraday Support: 1,881 – 1,860 – 1,836
(Ravi Nathani is an independent technical analyst. Views expressed are personal).
