Is Nifty Set for a Breakout After Sideways Consolidation?

Friday’s Pick:

OBEROIRLTY 25 APR24 1560 CE BUY… 1LOT Rs.7000

Short Term Pick :

OBEROIRLTY Cash From1550 to1575 (100 Quantity) 2500 Profit.

Nifty Technical View:

The Nifty 50 hit a new high before closing, showing a small bullish candlestick pattern with long upper and lower shadows on the weekly charts. It also maintained a trend of forming higher highs and higher lows for another week. Technically, unless it breaks above 22,650 or below 22,300-22,200, it’s likely to trade within a range in the upcoming week. A clear breach of these levels could indicate a definite direction for the market.

Indian Vix:

The India VIX, which measures market fear, rose by 1% after dropping for four days straight. However, for the week, it was down by 11.65% to 11.34. This means that although there was a slight uptick in fear on the day, overall, the market saw reduced volatility compared to the previous week.

FII and DII :
According to provisional data from the NSE, Foreign Institutional Investors (FIIs) sold shares worth Rs 1,136.47 crore, while Domestic Institutional Investors (DIIs) also offloaded Rs 893.11 crore worth of stocks.

Put Call Ratio:

The Nifty Put Call ratio (PCR) dropped from 1.17 to 1.03 on April 5, showing a change in market sentiment. When the PCR is above 0.7 or rises above 1, it means traders are selling more Put options than Calls, signalling a bullish mood. Conversely, a PCR below 0.7 or approaching 0.5 indicates higher selling of Calls than Puts, indicating a bearish sentiment.

Nifty and Bank Nifty Support and Resistance level:

Nifty: – Resistance 22,600, 22680 and 22800 levels.
Support 22450, 22,350 and 22280 levels.

Bank Nifty: Resistance 48,600, 48,730 and 48,980
Support 48,060 followed by 47,900 and 47,600.

Index Future levels
Nifty Futures Buy near 22500. The suggested targets for this are 22,700 and 22,800, with a stop loss set at 22,380.

Bank Nifty future Buy above 48,750 , the index is expected to see upside levels of 49,000 and 49200, and level 48,400 will act as a stop loss.

Stocks in the news:

Cochin Shipyard: The company has finalized the Master Shipyard Repair Agreement (MSRA) with the United States Navy. This agreement, which is non-financial, became effective on April 5. It enables the repair of US Naval vessels under the Military Sealift Command at Cochin Shipyard.

Today’s Top Pick : CHAMBLFERT

Chambal Fertilisers & Chemicals Ltd is engaged in production of Urea from its own manufacturing plants. It also markets/ deals in other fertilisers and agri-inputs. It also has a Joint Venture for manufacture of Phospohric Acid in Morocco. The company was also engaged in Software business, However, in FY21, it sold assets and transferred certain liabilities of the business to cease the operations of the software business.


Technical: – The breakout from a fallen wedge pattern, along with a strong bullish candle on the daily chart for Chambal Fertilisers & Chemicals Ltd, indicates a likely continuation of bullish sentiment. This is further supported by the stock trading and closing above its 21-day moving average, as well as a bullish crossover on the MACD indicator. These technical signals suggest potential opportunities for bullish positions or close monitoring for confirmation of an upward trend.

Commodity Samachar
Learn and Trade with Ease

Also Read: RBI MPC Meeting 2023: Did India Receive the Positive Outlook It Anticipated?

Chat With Our Analyst