Nifty could test 17,300 if 17,500 support is breached

the latest tech news, global tech news daily, tech news today, startups, usa tech, asia tech, china tech, eu tech, global tech, in-depth electronics reviews, 24h tech news, 24h tech news, top mobile apps, tech news daily, gaming hardware, big tech news, useful technology tips, expert interviews, reporting on the business of technology, venture capital funding, programing language

Nifty, Union Budget, inflation, Federal Reserve, Analysts

Technical analysts expect the Nifty to fall further in the week before the FY23 Union Budget on February 1. Analysts said the Nifty could fall to 17,300 if it breaks the support of 17,500. Last week, the indices fell 3.5% — logging their worst weekly performance in eight weeks — amid concerns over inflation and the US Federal Reserve’s policy tightening. Analysts are bullish on sugar, fertilisers, defence and real estate stocks in the near term.

the latest tech news, global tech news daily, tech news today, startups, usa tech, asia tech, china tech, eu tech, global tech, in-depth electronics reviews, 24h tech news, 24h tech news, top mobile apps, tech news daily, gaming hardware, big tech news, useful technology tips, expert interviews, reporting on the business of technology, venture capital funding, programing language

RAJESH PALVIYA

HEAD-TECHNICALS AND DERIVATIVES, AXIS SECURITIES

Global Tech News Daily

Where is Nifty headed in the week ahead of the Budget?

If the Nifty breaks below 17,500, it would witness selling, which would take the index towards 17,300- 17,100. However, if it crosses and sustains above 17,800 levels, it would witness buying, which would lead the index towards 18,000- 18,300 levels. The index is trading above the 50-day short-term moving average, which is an important factor. The daily and weekly relative strength indicator (RSI) is in a bearish mode, which supports bearish sentiments ahead. For the week, we expect Nifty to trade in the range of 17,300-17,900 with a mixed bias. We expect the index to remain volatile ahead of the Budget, so one should focus on a sector/ stock-specific approach. We expect sugar, fertilisers, defence and real estate to do well in the near term.

Global Tech News Daily

What should investors do?

We are suggesting a bearish strategy for the monthly expiry scheduled on January 27. The strategy is a Put Ladder, which involves buying one lot of Nifty 17,650 Put option at Rs 160 and selling of one lot each of 17,450 Put at Rs 84 and one lot of 17,250 Put at Rs 43. Traders should note that the Put Ladder is a limited profit and unlimited risk strategy. The maximum profit of Rs 8,350 will be attained at 17,450 levels, while losses will follow below 17,000. The cost involves an outflow of Rs 1,650, which is the maximum loss if Nifty closes and remains above 17,620 levels on expiry. Any sharper movement on the lower side could result in losses and as an extra put has been sold, it’s advisable to exit the strategy to avoid unlimited losses below 17,000. The break-even points are 17,617 on the upside and 17,017 on the lower side.

CHANDAN TAPARIA

DERIVATIVE ANALYST, MOTILAL OSWAL

Where is Nifty headed in the week ahead of the Budget?

The Nifty has been making lower high-lower lows from the last three trading sessions. Recently, it broke its rising support trend line and the immediate trend has taken a setup back for a sharp correction led by weakness in global markets and foreign institutional investors’ selling. It formed a Doji candle on the daily scale after the weakness of the last three sessions but the selling pressure is intact at higher zones, which needs to be negated for any kind of trend reversal. Till the index remains below 17,770, weakness could be seen towards 17,500 and 17,350 whereas hurdles exist at 17,950-18,000 zone.

What should investors do?

Investors are advised to use this dip for buying opportunities and bargain hunting in private banks, consumption, IT, auto and chemicals. Index traders can initiate bear put spread by buying 17,600 put and selling 17,400 put with a premium cost of around 60 points to play the downside hedge or move towards 17,400. Stock specific positive setup could be seen in Reliance, Maruti, ICICI Bank, Pidilite Industries and Power Grid. While weakness is likely in M&M Finance, ZEE, Dr Lal PathLabs and Voltas

SIDDARTH BHAMRE

DIRECTOR, ALTERNATIVE INVESTMENTS AND RESEARCH, INCRED EQUITIES

Where is Nifty headed in the week ahead of the Budget?

Last week’s correction has caused a lot of pain among retail participants as the mid-and small- cap segments corrected substantially with huge corrections in some of the widely-held names. This is an imported correction as the Dow fell significantly with the US Federal Reserve all set to raise interest rates in the near term due to rise in inflation. The Dow is reaching an important support zone of 33,600- 34,000 and the Nifty, too, has strong support around the 17,200-17,300 zone. The Dow has managed to bounce back from this support zone 3-4 times in the last six months or so. Nifty has consolidated around the above support in the recent past. From a medium-term perspective, equities are still in an uptrend as long as these zones are respected.

What should investors do?

It’s interesting to observe that despite the weakness in the Nifty (mainly due to the fall in the IT space), the private sector banking space has shown some signs of buying at lower levels. Bank Nifty has strong support around 36,500 levels and some of the heavyweights are showing signs of strength. It’s highly unlikely that the Nifty may breach important supports with some strength being visible in banking. There is sectoral churning and this correction so far appears more within a bull market. We would suggest not to get bearish till the important support zones across indices are respected. Banking and auto stocks are poised to outperform with selective FMCG names looking attractive after months of underperformance.

News Related

OTHER NEWS

New York Rangers get another comeback win to force Game 7 vs. Pittsburgh Penguins

PITTSBURGH — How many times can the New York Rangers dig themselves into a hole and climb back out? At least one more, as of Friday night. The Blueshirts came ... Read more »

Wilson, balanced Aces cruise to 96-73 victory over Dream

COLLEGE PARK, Ga. (AP) — A’ja Wilson scored 15 points, Kelsey Plum had 14 points and 11 assists and the Las Vegas Aces rolled to a 96-73 victory over the ... Read more »

EXPLAINER: Why frustration lingers in Okinawa 50 years later

The Associated PressFILE – U.S. Marine Corps Sgt. Mike Anglen of Turner, Ore., center, stands atop a cliff as Sgt. Bryan Wallace of Pikin, Ill., waits for his turn before ... Read more »

Astros beat Nationals 6-1 for 11th straight victory

WASHINGTON (AP) — Jose Altuve homered on the first pitch of the game, Yordan Alvarez and Yuli Gurriel also went deep and the Houston Astros extended their winning streak to ... Read more »

Kreider scores late, Rangers edge Pens 5-3 to force Game 7

PITTSBURGH (AP) — Chris Kreider’s long slap shot bounced over Louis Domingue and into the net with 1:28 left and the New York Rangers beat the Pittsburgh Penguins 5-3 on ... Read more »

Astros push winning streak to 11, roll past Nationals 6-1

WASHINGTON (AP) — Jose Altuve homered on the first pitch of the game, and Yordan Alvarez and Yuli Gurriel also went deep to help the Houston Astros extend their winning ... Read more »

Moustakas, Drury power Reds to 8-2 victory over Pirates

PITTSBURGH (AP) — Mike Moustakas homered twice and Brandon Drury drove in four runs to break out of a slump and lead the resurgent Cincinnati Reds to an 8-2 victory ... Read more »

Peterson's bases-loaded walk lifts Brewers over Marlins 2-1

MIAMI (AP) — Jace Peterson walked against Anthony Bender with the bases loaded in the ninth inning and the Milwaukee Brewers beat the Miami Marlins 2-1 Friday night. After starters ... Read more »

Padres: No cancer found during manager Bob Melvin's prostate surgery

SAN DIEGO (AP) — The San Diego Padres say no cancer was found when manager Bob Melvin had prostate surgery on Wednesday. Melvin, 60, was recovering at home Friday after ... Read more »

Ogunbowale, Gray help Wings rally past Mystics, 94-86

WASHINGTON (AP) — Arike Ogunbowale scored 27 points, Allisha Gray had 21 and the Dallas Wings overcame a 15-point second-quarter deficit to beat the Washington Mystics 94-86 on Friday night. ... Read more »

Resigning North Dakota senator led lawmakers in travel costs

The Associated PressFILE – North Dakota Sen. Ray Holmberg listens during a joint House and Senate Appropriations Committee meeting at the Capitol in Bismarck, N.D., on Jan. 7, 2009. Holmberg, ... Read more »

Residents in picturesque California county hit with gas prices topping $7 a gallon

A California county known for its spectacular mountains and proximity to Yosemite National Park has been paying the nation’s highest gas prices. Read more »

Boudreau to return as coach of Canucks next season

VANCOUVER, British Columbia (AP) — Bruce Boudreau will return as coach of the Vancouver Canucks next season after helping to turn the struggling NHL club around as a midyear replacement. ... Read more »

New Zealand leader Jacinda Ardern tests positive for COVID

On Location: May 13, 2022 Catch up on the developing stories making headlines.The Associated Press WELLINGTON, New Zealand — New Zealand Prime Minister Jacinda Ardern has tested positive for COVID-19 ... Read more »

Today in History for May 14th

Highlights of this day in history: Colonists go ashore in Virginia to set up Jamestown; Lewis and Clark begin to explore Louisiana Territory; Israel founded; Skylab launched; Movie producer George ... Read more »

Twitter CEO expects Elon Musk acquisition to close, addresses spending cuts

Musk is awaiting details supporting calculations that spam, fake accounts represent less than 5% of Twitter's users Read more »

Padres: No cancer found during Bob Melvin's prostate surgery

SAN DIEGO (AP) — The San Diego Padres say no cancer was found when manager Bob Melvin had prostate surgery on Wednesday. Melvin, 60, was recovering at home Friday after ... Read more »

Renovated NYC museum shows indigenous perspectives

The American Museum of Natural History in New York City recently finished a major renovation of its exhibition on the native peoples of the northwest coast of North America. Curators ... Read more »

Police release 911 calls in Gilgo Beach case

A woman who disappeared in a beach community on New York’s Long Island more than a decade ago, sparking an investigation into a possible serial killer, said “there’s somebody after ... Read more »

Academy Awards set 2023 Oscars for March 12

The Associated PressFILE – Oscar statue on the red carpet at the Oscars on Sunday, March 27, 2022, at the Dolby Theatre in Los Angeles. Next year’s Academy Awards will ... Read more »

Actor Fred Ward, of 'Tremors,' 'The Right Stuff' fame, dies

The Associated PressFILE – Fred Ward, a cast member in “30 Minutes or Less,” poses at the premiere of the film in Los Angeles on Aug. 8, 2011. Ward, a ... Read more »

Judge refuses to drop elections suit against Trump, media

NEW YORK — A Colorado judge on Friday denied motions to dismiss a defamation lawsuit filed by an election systems worker against former President Donald Trump’s campaign, two of its ... Read more »

Q&A: Becky G unveils every side of herself in latest album

The Associated PressFILE – Becky G appears at the Oscars in Los Angeles on March 27, 2022. Beck G’s latest album is “Esquemas.” (AP Photo/Jae C. Hong, File) NEW YORK ... Read more »

North Korea reports 21 new deaths as it battles COVID-19 outbreak

SEOUL, South Korea — North Korea reports 21 new deaths as it battles COVID-19 outbreak. Read more »

North Korea confirms 21 new deaths as it battles COVID-19

SEOUL, South Korea — North Korea says 21 people died and 174,440 people were newly found with fever symptoms on Friday alone as the country scrambles to slow the spread ... Read more »

White Sox place Giolito on COVID list, activate Vaughn

The Chicago White Sox placed ace Lucas Giolito on the COVID-19 injured list and activated outfielder Andrew Vaughn following a rehab assignment with Triple-A Charlotte on Friday. Giolito began experiencing ... Read more »

Traded back and forth, Ford learns to live out of suitcase

NEW YORK (AP) — Mike Ford has learned to travel light — and quickly. Since the start of the season, the 29-year-old first baseman has played for Tacoma, San Francisco ... Read more »

Falcon 9 rocket launches Starlink satellites

A SpaceX Falcon 9 rocket launched 53 Starlink satellites to low-Earth orbit from California on Friday. (May 13) Read more »

Celtics' Robert Williams remains out for Game 6 vs. Bucks

MILWAUKEE (AP) — Boston forward/center Robert Williams missed his third straight game with an injured left knee as the Celtics tried to keep their season alive Friday night in Game ... Read more »

Padres sign Robinson Canó, plan to use him off the bench

ATLANTA (AP) — The San Diego Padres have signed veteran second baseman Robinson Canó to a major league contract and plan to use him as a left-handed bat off the ... Read more »

WNBA star's Russia detention extended by 1 month

The lawyer for WNBA star Brittney Griner says her pre-trial detention in Russia has been extended by one month. Alexander Boykov told The Associated Press the relatively short extension indicated ... Read more »

Louisiana justices toss COVID-related charges against pastor

Hundreds of thousands of Americans fighting long-haul symptoms from COVID-19 Dr. David Putrino from Mount Sinai Health System and COVID long-hauler Joel Fram discuss the long-term effects of the disease.The ... Read more »

Sandy Hook lawsuits against Alex Jones on track to resume

The Associated PressFILE – This Tuesday, Dec. 11, 2018, photo shows radio show host and conspiracy theorist Alex Jones at Capitol Hill in Washington. The Sandy Hook families’ lawsuits against ... Read more »

Rockies' Bryant closer to return after cortisone shot

DENVER (AP) — Colorado Rockies outfielder Kris Bryant took swings in the cage Friday for the first time since he was sidelined with a sore back nearly three weeks ago ... Read more »

Mariners demote Jarred Kelenic to minors after poor start

NEW YORK (AP) — Rather than make his Citi Field debut against the team that traded him, Jarred Kelenic was demoted to Triple-A Tacoma by the Seattle Mariners on Friday ... Read more »

Biden: ASEAN partnership 'critical' in this moment

Looking to strengthen ties, President Joe Biden welcomes leaders from the Association of Southeast Asian Nations to Washington for the first time. “We’re launching a new era in U.S.-ASEAN relations,” ... Read more »

Phil Mickelson will not defend his title at next week's PGA Championship

Phil Mickelson caught lightning in a bottle last year at Kiawah Island, winning a major championship at 50 years of age. The fairways flooded, and the golf world stood and ... Read more »

Tennessee Titans' Malik Willis on Ryan Tannehill's mentorship comments: 'Everything is cool'

The Tennessee Titans didn’t take issue with Ryan Tannehill’s comments about mentoring third-round rookie Malik Willis. Willis and coach Mike Vrabel were asked about Tannehill’s scrutinized remarks following the first ... Read more »

Lawyers plan suit against Lufthansa over Jewish passengers

Lawyers for 26 passengers said Friday they told Lufthansa that they will sue the German airline for refusing to let members of a large group of Orthodox Jewish passengers board ... Read more »

Wild face offseason after yet another early ouster

While the Minnesota Wild were stacking up franchise records and securing the extra home game for the first round, general manager Bill Guerin carefully acknowledged a “great year” for the ... Read more »