Weekly Update

NIFTY:

Nifty surged, rebounding from channel support and the 100 EMA on the daily chart, closing above 22,500, up 2.03% for the week. A robust bullish candle signals a positive outlook for the coming week, with resistance at 22,800 and support in the 22,000-22,200 range.

Nifty has rallied nearly 700 points from the recent low of 21,821, consolidating within the 21,800-22,800 range since the last few weeks. Substantial call open interest at 23,000 denotes key resistance, while significant put interest at 22,000 highlights crucial support. The trend is expected to remain bullish, though potential liquidation around 22,800 may occur as election results near.

Nifty50 Weekly Chart

 

BANK NIFTY:

Bank Nifty rebounded robustly from the convergence of channel support and the 100 EMA, concluding the week with a strong bullish engulfing candle near its weekly high. 

Anticipated support for the coming week lies in the 46,800-47,000 range, with potential downside risk if breached. Conversely, resistance is projected at 48,500 and 49,000 levels. The possibility of a short covering rally is indicated by PCR data and current support levels.

Options data reveals substantial call open interest at 50,000, marking a critical resistance point, while significant put interest at 48,000 underscores a pivotal support level.

Bank Nifty Weekly Chart

 

Top Performing Sector of the Week

Nifty Realty Index 7.45%

-Oberoi Realty 18.29%

-Brigade Enterprise 14.69%

-Phoenix Mills 9.37%

Nifty Realty Weekly chart

 

Key News

• ICRA has assigned a long term rating of ‘AA-’ and a short term rating of ‘A1+’ to the company with ‘rating watch developing implications’.
• Nestle India shareholders have rejected the company’s proposal to raise the general licence fee paid to its Switzerland-based parent company Societe des Produits Nestle SA. 
• Vodafone Idea likely is in advanced discussions with its vendors as it expects to begin offering 5G services within the next six months. 
• Dalmia Cement (Bharat) Limited, wholly owned subsidiary of Dalmia Bharat Limited, has commenced commercial production at its new cement plant of 1.0 MTPA at Ariyalur, Tamil Nadu.