nifty50: Tech View: Bulls have no power; The Nifty could break below 15,670 next week

New Delhi: The Nifty 50 closed lower for the sixth straight session on Friday. The index made a bearish candle on the daily chart although it was able to deny its low-low structure. On a weekly scale, the indicator creates a long bearish candle with a long upward candlestick, suggesting a sell-off at higher levels.

Analysts say the index has moved into higher-selling areas, but the bulls do not have the strength.

Mazhar Mohammad of Chartviewwindia.in said the Nifty dropped nearly 300 points from its intraday high of 50 16,083, indicating a lack of bullish conviction about the sustainability of the rise to higher levels.

“The only positive thing that remains is that the advance-fall ratio remained decisive for the bulls, who were able to maintain the intraday low of Thursday’s session at the level of 15,735. It can be pulled to the side, ”he said.

For the day, the index lost 25.85 points, or 0.16 percent, to close at 15,782.15.

Nagraj Shetty, Technical Research Analyst,

Securities said the Nifty50 is near a significant low of the previous swing low of 15,670 hits on March 8th. The indicator is expected to break below this swing low to create a new low of the hierarchy, he said.

“There is a possibility of further weakness from here. The presence of significant support according to the monthly timeframe and the overall weekly chart pattern indicates a significant downtrend near the 15,500-15,400 level. Confirmation of the reversal pattern in the daily chart can only open a sustainable reverse bounce in the market,” he said.

Amal Athawale of Kotak Securities said that after a long time, the Nifty has closed below the 16,000 mark on a 50-week basis, which is largely negative. For traders, he said, 15,900 would serve as a key resistance level, below which the index could slip to 15,650.

“The 15,900 level will be the immediate trend reverse for bulls and above that we will see a strong pullback rally to 16,100-16,300,” he said.

Nifty Bank Outlook

Its Shivangi Sarada

Securities said Nifty Bank opened more than 400 points higher and continued to consolidate. It falls in the last hour of the day and forms a bearish candle in a daily frame.

“Even in the weekly frame, it has created a bearish candlestick. The index has been making lows for the last five weeks. As long as it is below 33,333, we can see weakness towards the 32,750 and 32,500 levels. .