Nifty Prediction for tomorrow 7th May 2021 Nifty trend continues to be sideways Nifty strategy should be sell in euphoria towards upper channel resistance and buy in panic towards lower channel support.
Nifty continues its lackluster movement within the downward sloping channel. Now, the overall picture is that prices are in the channel and are just sideways. However longer-term wave counts suggest that after this corrective pattern is done we have a high probability to move towards 15250. Even a new high is possible. In the near term though we can see a move towards the lower end of the channel support which comes in around 14000 to 13900 spot Nifty levels mentioned here.
USDINR and Nifty in the near term have an inverse correlation. So whenever we have seen near-term rupee depreciation we have seen Nifty moving lower. Now, USDINR pair is near an important support area, and holding that we could move all the way towards 77 in the near term. This in turn could take Nifty towards the lower end of the channel support around 14000 spot Nifty levels so be very nimble-footed and trade.
Being a corrective pattern for now in Nifty we could see the lower area of around 14000 and then possibly the last round higher. For this move which could have Nifty targets around 15250 or new high that we will review at around 14000.
Bank Nifty Prediction for tomorrow
Bank Nifty has been grinding just like Nifty. Not much difference here too. Overall we see some minor downside along with Nifty so we will have a look at Bank nifty or Maybe Icici Bank or State Bank of India at lower levels for buying. As we could see this too moving higher for the final move higher.
As usual, if you are only trading on the basis of this post please use your own risk management and then only trade. Please do not over-trade and always keep your risk in check. For a free trial of our services please click here.