Nifty Prediction Trend on Nifty remains sideways between 17950-18600 however the bias has now turned negative from an immediate near-term perspective.
Sideways to Negative
Bank Nifty Trend
Sideways to positive
Nifty Prediction and commentary
In our previous update we mentioned to buy banks and that worked out very well. Icici Bank, Kotak, and State Bank of India all did very well and we did play longs in this sector through Icici Bank which blasted, and yes we did capture the move and got out at 853.
Going forward Bank Nifty has been holding the Nifty for now. The broad stock market has been correcting and I do not see a possibility for now that Bank Nifty individually will be able to hold Nifty. I say this because most sectors like IT, FMCG, Mid Caps has given breakdowns and it is only the Bank Nifty that is doing the heavy lifting for now and since Bank Nifty is nearing its upper target I don't see it being able to pull or hold the Nifty at current levels. Hence there is a high probability of breakdown below 17950 and eventually Nifty moving towards 17200 or lower.
Nifty Prediction for November 2021
The longer-term Nifty Trend remains UP It is in the near term that we should look to be cautious. Hence even though the longer-term trend remains intact near term we see stocks giving decent pullback. Now, many may say the reason to be International Crude Oil or maybe bond yields and that is fine. Point is that markets are very overheated in the near term and will look for reasons to correct. Now that reason could be a contraction in margins (yes this will be a problem in the next 2 or 3 quarters to come. Click here for a detailed update on this)
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.
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