After a proper breakout and a rally which stretched above 1900 points from the March 4 lows, Nifty was clearly overbought on the hourly chart. It might be coming down for one or more of the following reasons:
1) Retesting support from where it can launch fresh move.
2) Correcting the RSI which had gone into the overbought zone.
3) Pressure due to upcoming Monthly and Financial year closing approaching on 28th March 2025.
3) The rally might have fizzled out.
4) Tax harvesting being done by retail investors.
5) Pressure due to upcoming Monthly and Financial
The first 4 options seem to be more likely of the 5 points mentioned above. FII was again on the buying side today so DII and Retail were the major selling parties.
Nifty Supports currently remain at:
1) Strong support zone of 23398 and 23309 (Hourly Mother Line support). This zone also includes the formidable mid channel support.
2) Next support is at 23145.
3) The next critical support for the rally remains at (Father line of the hourly chart) which is at 22959.
4) Final support for the rally will be at Channel bottom which is at 22801.
Nifty Resistance currently are at:
1) 23602 which is now a resistance.
2) 23749 a formidable resistance.
3) Recent rally top at 23869.
4) The zone between 24071 and 24267. (The areas that can be new channel top).
If you want to learn more about Mother, Father and the Small child theory designed by me about the stock market, Parallel Channels, charts, Candlestick analytics, Fundamental analysis, Mother and Father line importance, How to book profits, how to find a balance between Technical and fundamental analysis through Happy Candles Numbers, understand Behavioral Finance and other interesting topics by learning which you can make your money work harder you should read my book THE HAPPY CANDLES WAY TO WEALTH CREATION which is available on Amazon in paperback and kindle version. E-version of the same is available on Google Play Books too.
More volatility can be expected int the next 2 days due to ongoing Ukraine-US-Russia announcements, Financial year expiry and Trump Tarif updates. Trade with caution.
Disclaimer: The above information is provided for educational purpose, analysis and paper trading only. Please don't treat this as a buy or sell recommendation for the stock. We do not guarantee any success in highly volatile market or otherwise. Stock market investment is subject to market risks which include global and regional risks. We will not be responsible for any Profit or loss that may occur due to any financial decision taken based on any data provided in this message.
1) Retesting support from where it can launch fresh move.
2) Correcting the RSI which had gone into the overbought zone.
3) Pressure due to upcoming Monthly and Financial year closing approaching on 28th March 2025.
3) The rally might have fizzled out.
4) Tax harvesting being done by retail investors.
5) Pressure due to upcoming Monthly and Financial
The first 4 options seem to be more likely of the 5 points mentioned above. FII was again on the buying side today so DII and Retail were the major selling parties.
Nifty Supports currently remain at:
1) Strong support zone of 23398 and 23309 (Hourly Mother Line support). This zone also includes the formidable mid channel support.
2) Next support is at 23145.
3) The next critical support for the rally remains at (Father line of the hourly chart) which is at 22959.
4) Final support for the rally will be at Channel bottom which is at 22801.
Nifty Resistance currently are at:
1) 23602 which is now a resistance.
2) 23749 a formidable resistance.
3) Recent rally top at 23869.
4) The zone between 24071 and 24267. (The areas that can be new channel top).
If you want to learn more about Mother, Father and the Small child theory designed by me about the stock market, Parallel Channels, charts, Candlestick analytics, Fundamental analysis, Mother and Father line importance, How to book profits, how to find a balance between Technical and fundamental analysis through Happy Candles Numbers, understand Behavioral Finance and other interesting topics by learning which you can make your money work harder you should read my book THE HAPPY CANDLES WAY TO WEALTH CREATION which is available on Amazon in paperback and kindle version. E-version of the same is available on Google Play Books too.
More volatility can be expected int the next 2 days due to ongoing Ukraine-US-Russia announcements, Financial year expiry and Trump Tarif updates. Trade with caution.
Disclaimer: The above information is provided for educational purpose, analysis and paper trading only. Please don't treat this as a buy or sell recommendation for the stock. We do not guarantee any success in highly volatile market or otherwise. Stock market investment is subject to market risks which include global and regional risks. We will not be responsible for any Profit or loss that may occur due to any financial decision taken based on any data provided in this message.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.