Market wrap up(DWM,T,N,E):The Nifty 50 rebounded sharply with a gap-up opening and clocked a 1.6 percent rally to hit a one-month high after a day of profit-booking-induced correction, with above-average volumes for another session on February 4. The strong resistance trendline breakout and the decisive closing above the 50 and 200-day EMAs by the index seem to have confirmed the negation of the previous lower highs-lower lows formation. Hence, if the index sustains above 23,600 (200-day EMA), a rally toward the 23,900-24,000 zone can’t be ruled out in the upcoming sessions. However, 23,550 is likely to be immediate support, followed by 23,360 (10 or 20-day EMA), which remains a crucial support level, experts said. The Nifty 50 formed a long bullish candlestick pattern on the daily charts after a gap-up opening. The index not only stayed strong above the 10 and 20-day EMAs (Exponential Moving Averages) but also surpassed the 50 and 200-day EMAs, with a positive bias in the momentum indicator RSI (Relative Strength Index) in the upper band. The index traded above the upper band of the Bollinger Bands and hit the long-falling resistance trendline (adjoining highs of September 27 and December 16, 2024), which is a positive sign. The Bank Nifty reported a long bullish candle after a gap-up opening, confirming the Tweezer Bottom pattern (a bullish reversal pattern) formation from the previous session. The index surpassed the high of Budget Day on a closing basis and recorded 1.93 percent gains. Further, the index closed above the upper band of the Bollinger Bands and moved closer to the 200-day EMA, with a positive bias in the momentum indicator RSI (55).
Market wrap up(DWM,T,N,E):The Nifty 50 slipped into the red on January 3, after the volatility seen on Budget Day, making a negative start to the week by closing 0.5% lower. However, the index recovered more than half of its intraday losses and defended its short-term moving averages (10, 20-day EMAs) as well as the midline of Bollinger Bands on a closing basis, which is a positive sign. According to experts, the index seems to be in the process of forming a new higher bottom in the short term, especially after climbing above the last lower high (23,426). If the index stays above 23,000, an upside bounce toward 23,600 (200-day EMA) can’t be ruled out; however, immediate support is at 23,200. The Nifty 50 reported a bullish candle with a lower shadow on the daily charts, indicating buying interest at lower levels. The index not only defended its short-term moving averages but also the midline of Bollinger Bands on a closing basis, with above-average volumes, which is a positive sign. However, it negated the higher highs-higher lows formation of the last five days. The Bank Nifty showed a 300-point recovery from the day’s low by defending 48,900 (the Budget Day’s low) as well as the midline of Bollinger Bands before closing 0.6% down. It formed a Tweezer Bottom kind of pattern on the daily charts, a bullish reversal pattern. For confirmation, one would need to wait for the action of following session. The index formed a bullish candlestick pattern with minor upper and lower shadows on the daily charts, indicating volatility, though it negated the higher highs formation of the previous three sessions.
Market wrap up(DWM,T,N,E):The Nifty 50 fell, though moderately, for the first time in the last five consecutive sessions, closing with a loss of just 26 points on February 1, the budget day. However, the index maintained a higher highs-higher lows formation for five consecutive days and negated the lower highs-lower tops formation, signaling a positive trend. The index firmly stayed above the upper range of the previous two weeks, i.e., above 23,400. Therefore, as long as the index stays above this level, a march towards 23,600 (200-day EMA) and 23,700 (near the 50-day EMA) remains possible in the upcoming sessions. However, in the case of profit booking, 23,300 may act as support, according to experts. The Nifty 50 formed a small bearish candle with upper and lower shadows, resembling a high wave candlestick pattern on the daily charts, indicating volatility. The index sustained above the 10 and 20-day EMAs and stayed above the midline of the Bollinger Bands, which is a positive sign. The momentum indicator, RSI (Relative Strength Index, at 51.5), stayed in the upper band. The Bank Nifty also formed a high wave-like candlestick pattern on the daily timeframe, indicating volatility. However, the near-term trend seems to have turned positive, considering the higher highs formation in the last few sessions and the index trading above short-term moving averages (10 and 20-day EMAs), as well as above the midline of the Bollinger Bands.
Market wrap up(DWM,T,N,E):Relentless buying interest continued in the equity benchmarks for four consecutive days, rising more than 1 percent on January 31 and signaling optimism among market participants ahead of the Union Budget scheduled to be presented on February 1. In fact, the Nifty 50 also had a healthy start to the February series on Friday, surpassing short-term moving averages, and there was a strong resistance trendline breakout with above-average volumes. Hence, if the index continues its upward journey, the immediate hurdle zone on the higher side lies between 23,620 and 23,680 (200-day EMA, 50-day EMA), followed by 23,800-23,900 (trendline resistance and 100-day EMA) as the next resistance. However, in the case of a trend reversal, the immediate support may be at 23,300, followed by 23,000, which is considered crucial support, according to experts. The Nifty 50 recorded its biggest single-day gains since January 2 and formed a long bullish candlestick pattern on the daily charts. Additionally, with the index closing above the lower high of January 21 (23,426), there seems to be a reversal of the bearish pattern of lower tops-lower bottoms seen in the last month, indicating bullish development. The momentum indicator RSI (Relative Strength Index at 52.17) entered the upper band with a positive bias, while MACD (Moving Average Convergence Divergence) also showed a positive crossover but remained below the zero line. On the hourly charts, the index climbed above all key moving averages, with a positive bias in both RSI and MACD. On the weekly timeframe, the index closed above the 50-week EMA and formed a robust bullish candle that completely engulfed the previous two weeks’ candles, signaling positivity. The Bank Nifty also formed a bullish candlestick pattern on the daily charts, maintaining its upward trend and higher low formation for the fourth consecutive session. The index gained 0.6 percent and sustained above short-term moving averages (10, 20-day EMAs), while volumes remained above average for five consecutive days. On the weekly timeframe, the index surged 2.52 percent (its biggest weekly gain since the first week of December 2024) and formed a large bullish candle, engulfing the previous two weeks’ candles.
Market wrap up(DWM,T,N,E):The market continued its upward journey with a higher highs-higher lows formation for the third consecutive session, closing four-tenths of a percent higher with above-average volumes on January 30, the expiry day for monthly F&O contracts. The index tested the 20-day EMA and the mid-line of the Bollinger bands, which is at 23,300. Closing decisively above this level is expected to play a crucial role in further upward movement toward 23,400 (50-week EMA), followed by 23,600. However, as long as the index trades below this level, consolidation can’t be ruled out, with 23,000 acting as support, given the elevated VIX, experts said. The Bank Nifty also gained further momentum, especially since the gap-up opening on Tuesday, forming a bullish candle with a higher lows formation for the third straight session. The index closed above its short-term moving averages (10 and 20-day EMAs), rising 0.3 percent with above-average volumes. A lower high-lower low pattern will be negated if the index decisively crosses the 49,650 zone. On the weekly timeframe, the index formed a robust bullish candlestick pattern with a 2 percent rally, signaling a positive trend. The Nifty 50 formed a bullish candle for another session, especially after the Doji pattern formation on Tuesday, indicating that the market may be gaining strength ahead of the Union Budget to be presented on Saturday. The momentum indicators also showed a positive crossover, but the RSI (Relative Strength Index) at 45.9 remains in the lower band, and the MACD (Moving Average Convergence Divergence) is still below the zero line on the daily charts. However, on the hourly charts, both indicators showed good strength.
Market wrap up(DWM,T,N,E):The market gained more strength with the Nifty 50 rising 0.9 percent on January 29, a day before the expiry of January series derivative contracts due on January 30. The index climbed above the crucial 23,000 mark and closed above the 10-day EMA (23,134), but the trend is still in favour of bears due to the continuation of the lower tops-lower bottoms formation. The index needs to surpass and sustain above the 23,350-23,400 range to negate this lower top-lower bottom formation, as above it, 23,600-23,700 is expected to be a key hurdle (200-day and 50-day EMA). However, as long as it stays below 23,400, the consolidation may continue, with support at the 23,000-22,900 zone, according to experts. The Nifty 50 formed a bullish candlestick pattern on the daily charts with the continuation of the higher high-higher low formation for another session. But the trend is still in favour of bears, as the index traded in the lower band of the Bollinger bands and below the 20, 50, 100, and 200-day EMAs. Furthermore, the momentum indicators – the RSI (Relative Strength Index) showed a positive crossover but still in the lower band, and the MACD (Moving Average Convergence Divergence) remains below the zero line. Bulls appear supportive for the Bank Nifty, which continued its upward journey for the second consecutive session, forming a bullish candlestick pattern on the daily charts, while there has been above-average volume for the third consecutive session. The index stayed above the 10-day EMA for another session and tested the midline of the Bollinger bands intraday, which is a positive sign. However, the index is still below the 20, 50, 100, and 200-day EMAs and continues to show the lower high-lower low pattern, which can only be negated upon decisively surpassing the 49,650 zone on the higher side.
Stocks removed from F&O ban: IndiaMART InterMESH, Manappuram Finance, Mahanagar Gas, Punjab National Bank
Market wrap up(DWM,T,N,E):The Nifty 50 recovered some of its previous day’s losses and closed six-tenths of a percent higher on January 28, but could not sustain above the 23,000 mark, a crucial hurdle, given the caution ahead of the Budget. If the index manages to sustain above 23,000 amid overall bearish sentiment and elevated volatility, the upward journey toward 23,100 and then 23,300 could be possible. However, if it fails to hold above this level, the 22,800-22,750 range could act as a support zone. A break below this could drive the index down to 22,600, experts said. The Nifty 50 formed a Doji candlestick pattern on the daily charts with above-average volumes, indicating indecision among bulls and bears, though there was a higher high-higher low formation. The index still traded below all key moving averages (10, 20, 50, 100, and 200-day EMAs), and the momentum indicators remained in negative territory. The Bank Nifty saw a gap-up opening and formed a bullish candlestick pattern with a long upper wick and small lower shadow on the daily timeframe, indicating selling pressure at higher levels. The index moved closer to the midline of the Bollinger Bands intraday and closed 1.67 percent higher with significant volumes for another session. Overall, sentiment still remains bearish with negativity in momentum indicators, and the index traded below the 20, 50, 100, and 200-day EMAs.
Stocks retained in F&O ban: IndiaMART InterMESH, Manappuram Finance, Mahanagar Gas, Punjab National Bank
Stocks removed from F&O ban: Aditya Birla Fashion & Retail, Bandhan Bank, Can Fin Homes, Dixon Technologies, L&T Finance
Market wrap up(DWM,T,N,E):The Nifty 50 fell decisively below 23,000 (for the first time since June 2024), breaking the strong support seen in the past two weeks, as well as experiencing a trendline breakdown on January 27. This shift signaled a strengthening of the bears, especially with the market approaching the Budget event. Additionally, the subdued market breadth and rising VIX further weakened sentiment. As long as the index remains below 23,000, the bears may stay active, potentially driving the index down to the 22,500 zone. However, in the event of a bounce back, the 22,900-23,000 range is expected to serve as immediate resistance, followed by 23,200, according to experts. The Nifty 50 formed a bearish candlestick pattern on the daily charts and has consistently traded well below all key moving averages (10, 20, 50, 100, and 200-day EMAs), signaling weakness. Momentum indicators also show a negative bias, with the RSI (Relative Strength Index) at 33.77, in the lower band, and the MACD (Moving Average Convergence Divergence) positioned well below the zero line. The Bank Nifty has also broken its support trendline, falling by 0.6 percent with above-average volumes. The index formed a bullish candlestick pattern with a long upper shadow on the daily timeframe, indicating a lack of buying interest at higher levels. Overall, the trend remains in favour of the bears as the index has remained well below all key moving averages, with negative momentum indicators.
Stocks retained in F&O ban: Aditya Birla Fashion & Retail, Bandhan Bank, Can Fin Homes, Dixon Technologies, IndiaMART InterMESH, L&T Finance, Manappuram Finance, Mahanagar Gas, Punjab National Bank
Stocks removed from F&O ban: Nil
Market wrap up(DWM,T,N,E):The benchmark Nifty 50 had remained within a 23,000-23,400 range for another week ending January 24, closing Friday as well as the week half a percent down, with the formation of a bearish candlestick pattern. Volatility is likely to increase as the market approaches the monthly F&O expiry and the Union Budget next week. Overall, the trend remains negative. Consolidation is expected, and if the index breaks the lower range, a fall toward 22,800-22,600 could be possible. However, a decisive breakout above 23,400 could drive the index toward the 23,600-24,000 zone, according to experts. The Nifty 50 formed a bearish candlestick pattern with a long upper shadow on the daily charts, indicating a lack of buying interest at higher levels. The index has sustained below all key moving averages (10, 20, 50, 100, and 200-day EMAs), with negative momentum indicators signaling bearish sentiment. However, it has been sustaining above the downward-sloping support trendline for the last three days. he Bank Nifty extended its downtrend for another session, falling half a percent and forming a bearish candlestick pattern with an upper shadow on the daily timeframe, indicating selling pressure at higher levels. The trend remains in favour of bears, as the banking index traded below all key moving averages, and the momentum indicators suggest a negative outlook.
Stocks retained in F&O ban: Aditya Birla Fashion & Retail, Bandhan Bank, Can Fin Homes, Dixon Technologies, IndiaMART InterMESH, L&T Finance, Manappuram Finance, Mahanagar Gas, Punjab National Bank
Stocks removed from F&O ban: RBL Bank
Market wrap up(DWM,T,N,E):The Nifty 50 extended gains amid range-bound trade, rising 0.2 percent on January 23, but has still been broadly moving in the range of 23,000-23,400 since last week. The overall sentiment remains bearish, with a continuation of lower tops and lower bottoms on the daily charts, and the index is trading below all key moving averages. Hence, the consolidation may persist until the index gives a strong close above 23,400, with support at 23,000. A break of this support could drag it down toward the 22,800 level, according to experts. The Nifty 50 formed a bullish candlestick pattern with a minor upper shadow on the daily charts, still holding onto the downward-sloping support trendline. However, it remained below all key moving averages (10, 20, 50, 100, and 200-day EMAs), with a negative bias in the momentum indicators, signaling a weak bias. The Bank Nifty underperformed the benchmark Nifty 50, falling 0.3 percent, and formed a bearish candlestick pattern on the daily timeframe. It is sustaining below all key moving averages and in the lower band of the Bollinger Bands, signaling weakness. The momentum indicators also show a negative trend.
