29 Dec ’23 — Not that much of an action today — Nifty & BankNifty PostMortem Analysis
Nifty Analysis — Stance: Bullish ⬆️
4mts chart link — click here
It seems the bulls were not in the mood to rally today. We gave up some gains early in the day and at 21683 levels we found a shallow support. We again retested those levels by 14.19 only to reject the fall.
Connecting the dots with yesterday’s price action — it appeared to be a neutral day with the trades in a narrow range. What a year Nifty had in 2023, today was the last working day in the calendar year and the first working day of Q4 expiry.
63mts chart link — click here
Nifty is still way above the ascending channel showing bullishness. As long as the soft support level of 21652 is respected, we do not wish to change the stance. Meanwhile, we need to be mindful of any global macros that could develop over the weekend as New Year’s usually brings about some odd surprises.
BankNifty Analysis: Stance — Bullish ⬆️
Banks were appearing pretty lousy today, the fall did not halt at 10.11 today when Nifty50 found its support. BankNifty went further down and got its rejection only at the bottom level of the ascending channel.
4mts chart link — click here
We have never seen an ascending channel that works with so much perfection. Yesterday BN finished on the top line, the gap-down opening tipped the scale in the bear’s favor but was run out at the bottom level. Interestingly only BankNifty took the beating, FinNifty ended the day much better (exact 0.22% loss closing as of N50).
63mts chart link — click here
You can notice how beautifully BankNifty is respecting the channel. As long as we do not break the lower trend line, the bullish case is still intact.
Thank you for staying with me this year. Your readership, comments, and suggestions are always appreciated. Wish you a happy and prosperous NEW YEAR 2024.