Nifty Today Outlook Report - 19 July 2022

The positive global cues led to a gap up opening in Nifty above 16150 mark. The index then traded with a positive bias throughout the day and ended around 16230 with gains of over a percent.

Nifty Today:

Nifty witnessed some cool-off in last week and had seen some retracement of the recent upmove. Inspite of some negative news flows during the week, the index held above its important support of 15800. Nifty had retraced 38.2 percent of the recent up move and it has now resumed the ‘Higher Top Higher Bottom’ and thus the short term uptrend.

                                                 Nifty resumes short term uptrend

The broader market participation indicates that we are likely to see a continuation of the up move in the near term. The ‘RSI Smoothed’ oscillator on the daily as well as the hourly chart remains in buy mode. In the near term, we expect the Nifty to continue the up move towards 16520 followed by 16650 which are the 200 EMA and the 50% retracement of the corrective phase respectively. The immediate support for Nifty will now be placed around Hence, traders should look to trade with a positive bias and look for buying opportunities from a near term perspective.