Nifty’s Northward Journey: Insights from Sudeep Shah of SBI Securities
In a week marked by notable volatility, Nifty has managed to end on a high note, closing 2.2% up. According to Sudeep Shah, the Deputy Vice President and Head of Technical & Derivatives at SBI Securities, this upward momentum is set to continue in the upcoming trading sessions. However, he highlights potential hurdles within the 24,850 to 24,900 range that traders should be aware of.
The recent trading day showcased extreme fluctuations, with Nifty navigating a staggering 562-point range, which is the widest daily movement seen in the past eight sessions. The index took a sharp dip of 244 points during the first half of the day, only to find support near the 100-day Exponential Moving Average (EMA). This bounce-back is crucial for traders looking to gauge the index’s next moves.
Shah notes that despite the volatility, the underlying trend appears bullish, and traders should take advantage of potential support levels. The 100-day EMA serves as a solid foundation for Nifty, indicating that the market may still have room to grow. For those looking to invest, keeping an eye on market conditions and adjusting strategies accordingly could lead to profitable opportunities.
As Nifty approaches the critical resistance levels of 24,850 to 24,900, traders are advised to monitor both technical indicators and broader market sentiments. The ability of Nifty to break through these levels will be pivotal in determining its trajectory in the near term. A sustained move above this range could signal further bullish momentum, while failure to do so may prompt a reevaluation of positions.
In conclusion, the outlook for Nifty remains optimistic, especially as the index has demonstrated resilience in the face of volatility. Investors should stay informed and consider both technical signals and market fundamentals to navigate these uncertain waters. For more detailed analysis and updates, keep an eye on financial news platforms like Economic Times.
