Jun21-W1: Nifty to consolidate this week (May31 to Jun4)?

Though I have not been able to find time to trade Nifty mainly due to office work, I could not resist making a brief analysis for this week especially since Nifty has hit ATH. Congratulations to those who stayed invested.  

Now, here’s what I am looking at:

Saying that Nifty has broken previous ATH would be a call made too soon. This week is crucial to see if Nifty has broken the red resistance rectangle.  

Thus, scenarios for the week ahead…

ScenarioProbabilityAnticipated Price Action
ConsolidationHighBetween 15500 and 15250
DowntrendLowIf breach below 15250; to drop till 15100
UptrendLowIf breach above 15500; to rise till 15650

Lingering around ATH levels is always a very tricky situation and I personally think Nifty is far away from its averages and thus, revert to mean is a good possibility. RSI structure too is a bit confusing. So, consolidation should be the name of the game, this week. Let’s see.

DISCLAIMER: I am not a SEBI registered adviser. All the information provided on this website is for educational / informational purposes only and should not be taken as investment advice.