Nifty has broken through the rising
support trend line, indicating that bears have complete control. Friday's Nifty
selloff got even worse after the 50-pack index broke through its crucial
support of 18,000 with a gap-down opening. During the session, the 50-pack
index tested levels below 17,800 and formed large bearish candles on daily and
weekly charts. According to analysts, the bears are completely in charge, and
the Nifty could move towards the 17,500 level in the coming days.
The index dropped below the 200-DEMA in addition to falling below
18,000." The daily momentum indicator is falling and crossing in a bearish
direction. The mood has taken a very negative turn; a further downfall is
normal from here, with a potential close term reach of 17,550. Opposition on
the better quality is apparent at 18000-18,100. The index ended the day at
17,806.80, down 1.77 % or 320.55 points. The index was down 462.20 points, or
2.53 % , for the week. On the daily scale, the index formed a bearish candle
and has been making lower lows for the past seven sessions. We anticipate that
the index's weakness will continue as long as it stays below 17,950. The levels
of 17,950 and 18081 are designated as hurdles for the index. Nifty has breached
the rising support trend line, indicating that bears have complete control. It
has reached the 20-week moving average on the weekly charts, which may
provide some relief the following week. However, it probably won't last long,
and the overall short-term trend has turned negative. On the negative side, we
anticipate that the Nifty will fall below 17,560, the 61.82 percent Fibonacci
retracement level of the rise from 16,748 to 18,889. The levels of critical
support range from 17,730 to 17700, while the levels of immediate resistance
range from 17,930 to 10,000.
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