What I said last week was ‘As the market is rising back with a vengeance after the previous 2-3 weeks of downtrend, it will be difficult for bears to stop its momentum.’ I was right as most of the week was a minor bullish trend.
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)
This week is expected to swing both ways. I see Nifty as trapped between my red and green lines. Even if Nifty manages to break above red line, it may not be possible to maintain uptrend. At the same time, there is too much price action around 17100 levels for Nifty to fall like a knife. Thus, I expect a boring consolidation during this first week of new year.
Scenarios for the week ahead (highlighted as yellow box with red and green lines dissecting scenarios)…
|Scenario||Anticipated Price Action|
|Consolidation||Between 17650 and 17050|
|Downtrend||If breach below 17050; to drop somewhere till 16500|
|Uptrend||If breach above 17650; to rise somewhere till 18050|
Hope year 2022 remains a boring one for all including Nifty. There has been too much volatility in previous 2 years and at least I can’t stand so many events in so little time. Let there be healing, for the world and for my P&L.
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.