Nifty Outlook: After facing pressure on Tuesday, Nifty made a strong recovery on Wednesday. The index bounced sharply from the day’s lows and closed with a gain of 142 points. After the initial weakness, buying returned almost immediately and the momentum continued throughout the session. Nifty ended the day at 26,053, up 143 points. This rise in the market was linked to increased expectations regarding the ongoing talks on India-US trade deal.
Now let us understand from the experts how the movement of Nifty will be on Thursday 20th November and which levels will be important. But, first let us know what special happened in the market on Wednesday.
Which stocks saw rise and fall
Max Healthcare, and IT giants HCL Tech and Infosys were among the top Nifty gainers. On the other hand, pressure was seen on Tata Motors Passenger Vehicles, Coal India and Maruti.
Talking about sectors, there was strength in IT, PSU Bank and Bank Nifty. Only Oil & Gas, Realty and Media indices closed in the red. The midcap index rose 0.21%, while the smallcap index fell 0.43%, meaning the broader market remained mixed.
What will the global market see next?
Global markets are now keeping an eye on CPI data from UK and Europe, and important US jobs data due tomorrow. Siddharth Khemka of Motilal Oswal says that the market is expected to trend gradually upward. But, caution will remain regarding global macro events and Phase-1 of India-US trade deal.
Expert opinion on Nifty
From the market point of view, analysts believe that now the bulls have regained the lead. Nagaraj Shetty of HDFC Securities says that there is scope for Nifty to rise to 26,300-26,400 in the near future. According to Rupak Dey of LKP Securities, the index may move towards 26,200-26,350, while below it there remains strong support at 25,850.
Nandish Shah of HDFC Securities says that Nifty is currently testing the very important resistance of 26,100. If this level is clearly broken, the index could move towards a new all-time high above 26,277. On the downside, today’s low of 25,856 is the first support and after this the major support is considered at 24,740.
condition of bank nifty
Bank Nifty also showed a sharp recovery from initial weakness. After touching an intraday low of 58,689, the index jumped to close at 59,216, a gain of 0.54%. It also made a new high during the session. The index decisively broke the strong resistance band of 59,000-59,100, which was restraining the market for the last two sessions.
According to Sudeep Shah of SBI Securities, this breakout shows that strong buying and bullish sentiment has returned in Bank Nifty. Now the next big resistance is at 59,400-59,500. If strength continues above 59,500, the index may move straight towards 60,000. On the downside, support is seen at 58,600-58,700.
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