Nifty Outlook for 7 July 2023

Nifty continued with its positive momentum post some consolidation and it tested the 19500 mark for the first time ever. The Bank Nifty posted gains of about half a percent, but the midcap stocks saw buying interest and thus the Nifty Midcap index outperformed the benchmark.

Nifty Today:

The upmove continues for the indices as the Nifty rallied higher to achieve another milestone of 19500 mark. Infact the recent momentum has been so strong that it has not breached its previous sessions low since last seven trading sessions. The support base for Nifty has shifted to 19300 and thus, traders are advised to continue to ride this trend with a trailing stoploss method. The momentum readings are overbought, but we have quite often seen that the when the trend is strong enough, the market continues the move in the overbought zone too. The Bank Nifty has important support placed at 45000 as it is the low of the doji candle formed on Tuesday and has not been breached in last couple of sessions. Till this support is intact, the uptrend remains intact there too. Hence, traders are advised to continue to trade with a positive bias and look for stock specific buying opportunities.  with a positive bias and look for stock specific buying opportunities.

                                                                Nifty tests another milestone of 19500

The derivatives data too is positive as the FII’s have been net buyers in the cash as well as the index futures segment this week. Their long positions in the index futures segment are above 70 percent. Since the indices are at all-time high, traders should ride this trend with a trailing stoploss method.

Nifty, Bank Nifty Levels and FINNIFTY Levels:

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