Nifty Update: Tech View: Nifty forms long bullish candle on daily charts. What traders should do on Thursday – Heemang Parmar

With Nifty scaling new peaks, a long bullish candlestick with a minor upper shadow was formed on the daily scale. This pattern indicates the continuation of the upside momentum in the market.

The hourly and daily upper Bollinger Bands expanded along with price action, which assisted the bulls today. Momentum oscillator RSI gave a falling trend line breakout.

Analysts said Nifty looks set to test the 19,000 mark while on the downside, 18,700-18,600 has now become a short-term base for the index.

What should traders do? Here’s what analysts said:
Rupak De, Senior Technical Analyst at

The crucial short-term moving averages are sitting below the index value, confirming the positive trend. The trend is likely to remain bullish as long as it remains above 18,600 as the support level shifts higher. On the higher end, resistance is visible at 18,800-19,000.

Ajit Mishra, VP – Research, Broking
Rotational buying across sectors is fuelling the recent surge while global markets are not offering any clear signal. We’re now eyeing a new milestone of 19,000 mark in Nifty. Participants should keep a close watch on themes/sectors gaining traction and place their bets accordingly.

Shrikant chouhan, Head of Equity Research (Retail), Kotak Securities
The intraday texture is mildly overbought, hence we could expect some profit booking at higher levels. For trend following traders, 18,650 would be the trend decider level, above which the index could move up to 18,900-18,950. However, traders may prefer to exit from their long positions if the index trades below 18,650 and could slip till 18,600-18,550.

Nagaraj Shetti, Technical Research Analyst, Securities
The positive chart pattern of higher tops and bottoms continued on the daily chart. Though Nifty is placed near the higher top around 18,800 levels, there is no indication of a reversal pattern forming at the highs. Immediate support is placed at 18,680 levels and the upside target remains intact around 18,950-19,000 levels (0.786% Fibonacci Extension).

Gaurav Ratnaparkhi, Head of Technical Research, Sharekhan by
Nifty is set to test 19,000 on the upside. On the downside, 18,700-18,600 has now become a short-term base for the Nifty. Reversal for the short- term bullish stance can be trailed below this support zone.

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)