#nifty50 analysis for next week 9th Sept-13th sept
The Indian stock market experienced a significant downturn last week, with the Nifty 50 closing at 24,852, a substantial 400 points below the previous week's close. Despite reaching a weekly high of 25,333, the index ultimately settled within its expected range of 25,850 to 24,600.
Looking ahead, a bearish outlook prevails for the coming week. The Nifty is anticipated to trade within a range of 25,500 to 24,150. A bearish engulfing candle formation suggests continued selling pressure on Monday and Tuesday. However, a potential bounce to 25,000 on Wednesday or Thursday could offer bears an opportunity to initiate fresh short positions. A daily close above 25,080 would be a positive sign for bulls, while a close below 24,486 (DEMA50) could lead to further declines, potentially opening the gates to 24,150, 24,000, or 23,840 (DEMA100).
Globally, the S&P 500's decline of 240 points from the previous week's close triggered selling across various markets, including India. The 5,380 support level (DEMA50) is crucial for the S&P 500. A break below this level could result in a 3.5-4% correction, potentially testing the 5,200-5,170 support zone, which would likely exert further pressure on global markets.
Looking ahead, a bearish outlook prevails for the coming week. The Nifty is anticipated to trade within a range of 25,500 to 24,150. A bearish engulfing candle formation suggests continued selling pressure on Monday and Tuesday. However, a potential bounce to 25,000 on Wednesday or Thursday could offer bears an opportunity to initiate fresh short positions. A daily close above 25,080 would be a positive sign for bulls, while a close below 24,486 (DEMA50) could lead to further declines, potentially opening the gates to 24,150, 24,000, or 23,840 (DEMA100).
Globally, the S&P 500's decline of 240 points from the previous week's close triggered selling across various markets, including India. The 5,380 support level (DEMA50) is crucial for the S&P 500. A break below this level could result in a 3.5-4% correction, potentially testing the 5,200-5,170 support zone, which would likely exert further pressure on global markets.
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