Market Outlook for 20 September 2023

Our markets started marginally negative on Monday and consolidated in range ahead of the mid-week holiday. The global markets witnessed some correction and hence, our markets too ended the day with a marginal loss at 20130.

Nifty Today:

Nifty rallied higher during last week and marked a new milestone around 20200. This level coincides with 127 percent retracement of the recent corrective phase and hence is seen as the immediate resistance. Also, the momentum readings on the hourly chart were overbought and hence, there could be a minor pullback move or some consolidation. We witnessed such consolidation in Monday’s session, but the short term supports are intact which is placed in the range of 20050-20000. Since there are no signs of reversal, this should just be seen as a pullback move and hence traders should look for buying opportunities if the index approaches the mentioned support range. On the higher side, 20200 is seen as the immediate hurdle, which is surpassed then the index could rally towards 20380 and 20470 in the near term.

Market consolidates around its important level, PSU and Auto outperform   

The PSU banks and the Auto space have been buzzing and stocks within these sectors have witnessed good price volume action. Stocks from these sectors can continue their outperformance in the near term.

Nifty, Bank Nifty Levels and  FINNIFTY Levels: