Nifty Outlook - 16 Nov-2022

Nifty started trading for the day marginally positive and consolidated within a narrow range for most part of the day. However, the index heavyweights led by some banking and IT names took the charge in last hour of the trade and the indices rallied higher towards the end to close the day above 18400 with gains of about half a percent.

Nifty Today:

The indices continue its gradual upmove with intraday consolidations relieving the overbought set ups on the lower time frame chart. The intraday dips are getting bought into which is a sign of strength and the near term trend continues to be positive. With buying seen in the 18300-18250 range, the near term support base has now shifted higher and until we see any signs of reversal, traders should continue to trade with a positive bias. However, the midcap index has not been participating recently and still hence, traders should be selective and prefer large cap names which are leading this upmove. The FII’s too continue to have a positive bias on our markets as they have about 60 percent of positions in the index futures segment on the long side and they have been buying in the cash segment too.

Market continues momentum led by heavyweight stocks

The immediate support for Nifty is now placed in the range of 18300-18250, and any intraday dips towards support should be used as a buying opportunity. On the flipside, 18500 would be the immediate resistance to watch out for considering the option writers positions and one this is surpassed, our market is likely to mark a new record soon.

Nifty & Bank Nifty Levels: