Nifty:25694.35/28.75/0.11%;Candle:OGU;Doji; Bank Nifty:60094.15/515/0.86% Candle:OF;Long day green ; HB:OGD;Short day green;931;RIL:OF;DojiL;1461;TCS:OGU;Short day red;3209;
Market wrap up(DWM,T,N,E):The Nifty 50 closed moderately higher amid volatile and rangebound trading on January 16. It attempted twice during the week, including on The Bank Nifty outperformed the benchmark Nifty 50 with above-average volumes and rallied 0.86 percent after convincingly breaking out of the consolidation of the previous four sessions. The index is now comfortably trading above all key moving averages and has moved closer to the upper Bollinger Bands, forming a long green candle on the daily timeframe. The RSI at 61.43 showed a positive crossover, and the Stochastic RSI maintained a bullish crossover, while the MACD is on the verge of a positive breakout with an almost flat histogram. All this indicates strengthening bullish momentum in the Bank Nifty.Friday, to sustain above the 50-day EMA (near 25,900) but failed. Hence, this level can be considered a strong hurdle for a sharp upward journey toward and beyond 26,000. On the other side, the index has been taking healthy support at the 100-day EMA (a tad above 25,600) on a closing basis for the last five straight sessions. Below this, the crucial support is placed at 25,450. Further, the momentum and technical indicators remained largely sideways to bearish. Hence, until the index decisively breaks the 25,600–25,900 range on either side, consolidation and caution may continue, experts said. The Nifty 50 formed a Doji-like candlestick pattern on both the daily and weekly charts, indicating indecision among market participants. The index traded below short-term moving averages, which trended downward, while the 50-day and 100-day EMAs remained flat for the last five sessions. It also sustained below the rising trendline, which is now acting as resistance after previously being a support trendline. The RSI remained in a narrow range around 40 for more than a week, while the MACD stayed below the signal line. The histogram remained below the zero line, though weakness faded slightly. All this indicates continued consolidation with a cautious to bearish undertone.
