Stock market today: What to expect from Nifty, Sensex, Bank Nifty in trade on August 21
Nifty also indicate a tepid start for the Indian benchmark index. The Gift Nifty was trading around 19,313 level as compared to the Nifty futures’ previous close of 19,316. The Nifty index remained range bound on Friday and closed lower by 55 points at 19,310.
The index took the short term moving average i.e. the 50-day exponential moving average (EMA) at around 19,250. Nifty formed a small body candle on the daily chart with a long upper shadow.
“Technically, this pattern indicates lack of strength in the market to sustain the upside bounce. Negative chart patterns like lower highs and lows are intact and the Nifty is currently on the way down to form a new lower low. We observe a broader triangle type pattern on the daily chart and the market is currently placed at the edge of breaking below the lower support of 19,250 levels," said Nagaraj Shetti, Technical Research Analyst, HDFC Securities.
He believes the short term trend of Nifty continues to be weak with range bound action. Also Read: 5 things that changed for market over weekend: Gift Nifty, China loan prime rates to global market cues for Sensex today Here’s what to expect from Nifty and Bank Nifty today: The index has consistently remained below its 21-day Exponential Moving Average (EMA), a sign that underscores the prevalence of a bearish trend, said Rupak De, Senior Technical analyst at LKP Securities. On the lower end, support is placed at 19,250.
A fall below 19,250, may trigger a correction towards 19,000 and lower. On the higher end, resistance was placed at 19,500, he added. Also Read: Buy or sell: Vaishali Parekh recommends three stocks to buy today — August 21 The Bank Nifty fell 40 points to 43,851 on Friday.
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