Nifty 50 Next Week Target: For the most part of the week, the domestic equity markets, particularly the key indices, were in a cautious mode due to dampened sentiments following the budget announcement. Also, weakness in global peers weighed on, but the benchmark index Nifty continued to defend key support around 24200 on a closing basis.
On Friday, the tide changed with renewed buying interest in the benchmark Nifty 50 index as it opened on a positive note and witnessed a sharp upmove to close at a new all-time high. It ended 428.75 points or 1.76 per cent higher at 24,834.85. The index made a new all-time high of 24,861.15. As many as 47 of Nifty constituents closed in green while three ended lower. On the daily charts, Nifty witnessed a follow-through buying interest from the previous trading session. The trend has once again turned from sideways to positive.
Amidst all this action, the weekly winning streak continued for the eighth consecutive week as Nifty discarded last week’s bearish 'Shooting Star' formation on the weekly chart and 'Bearish Engulfing' on the daily chart. It ended the week with gains of around 1.50 per cent.
Astha Jain of Hem Securities said that the positive momentum in Nifty is likely to stay in the short and medium term. "Those looking to make a fresh positioning Nifty, should wait for a dip. If Nifty falls towards 24650, the it could a good buy zone".
"24650-24700 is a good range to enter the market. The immediate target for the index is 24900," she said.
Rajesh Bhosale, Technical Analyst, Angel One, said that he swing low of 24070 and the base formation around 24200 are pivotal levels. As long as these levels hold, optimism is expected to continue, with markets targeting new milestones. On the flip side, the index can first aim to test the psychological level of 25000 and then the 161.8% retracement of this week’s swing at 25340.
"Immediate support can be seen around 24600. Momentum has definitely picked up for the bulls again, but one should avoid complacency as momentum indicators are still trading in overbought territory," he said.
Jatin Gedia, Technical Research Analyst at Sharekhan by BNP Paribas, said that Nifty is back to uptrend. Now, the current upmove can extend towards 25350 – 25530. Support base now stands at 24400 which is the 20-day moving average.
"The daily momentum indicator still has a negative crossover however we shall assign more weightage to the price action and ride the up move," he said.
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2024-07-27T02:25:27Z dg43tfdfdgfd