Nifty Nov21 W2

Nov21-W2: Level of 18000 to influence psychology for Nifty? (Nov8 to Nov12)

Based on volatility behavior, I was thinking last week that market will swing a lot. But it may not be wrong to say that it remained mostly upward. Being a 3 day week, it is difficult to conclude anything anyway

Now the following is my analysis for coming week based on what I am looking at (You may want to open image in new tab or save it for better view)

The red channel is all that matters as of now. Since the larger timeframe (weekly) is still massively bullish, I would not be surprised if Nifty breaches the top of this channel and takes out 18,000 also. This can then potentially snowball in a large bull move which can bring a new ATH. However, all this requires a good momentum. All that will take some time. As of this week, it is a very stalemate of a situation and the level of 18,000 will define everything.  

Scenarios for the week ahead (highlighted as yellow box with red and green lines dissecting scenarios)…

ScenarioAnticipated Price Action
ConsolidationBetween 18075 and 17750
DowntrendIf breach below 17750; to drop somewhere till 17450
UptrendIf breach above 18075; to rise somewhere till 18300

I hope it has been a happy Diwali for all. However, the auto sector has declared Diwali 2021 as one of the most dismal times due to high costs. Auto sector is usually a leading indicator. Let’s see what happens by Diwali 2022.

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.