F&O Talk | Nifty Bank can rally up to 52,300 in short-term, hurdle at 50,800-50,900: Sudeep Shah of SBI Securities
Nifty is showing possibilities of a rebound from current levels, said Sudeep Shah, Deputy Vice President and Head of Technical & Derivatives Research, SBI Securities.
«The zone of 50,800-50,900 will be the immediate hurdle for the index as 20- and 50-day EMA are placed in that region. Any sustainable move above the level of 50,900 will lead to sharp upside rally up to the level of 51,700, followed by 52,300 in the short term,” said Shah.
Edited excerpts from a chat:
Nifty has been trading in the range of 24,000 to 24,400 levels for the past few days, and the index as well as RSI are range bound. Is the range-bound movement likely to stay there for a while?
On August 5, benchmark index Nifty marked a low of 23,894 and thereafter started marking a sequence of gradual higher highs and higher lows. It has ended the week above the 24,500 mark with a gain of nearly 1%, and on a weekly scale, it has formed a bullish candle along with a lower shadow, which is a bullish sign.
Along with this upside, the index has reclaimed its 20-day EMA level and also retraced over 50% Fibonacci retracement level of its prior downward move (25,078-23,894). The daily RSI is quoting at the 55 level, and it is about to give a bullish crossover. The daily stochastic has already given a bullish crossover. These technical factors indicate a bullish sentiment in Nifty.
Bank Nifty is currently just sustaining above its 100 DEMA. If this support breaks, till where do you see the index dipping?
For the last 9 trading sessions, Bank Nifty has
