Indices End Higher but in an Indecisive Mode - will the up-move fade now?

Published 17-06-2024, 08:00 pm

Nifty 23465/+0.29%/14-6-24

  • The Open Price was +66 points than the closing price of the previous session giving a bullish start to the day.
  • Nifty made a low at 23334 which was a mildly downward shift to the lower base and does not indicate anything significant as the close is above 23450.
  • The Close Price was almost equal to the open price which indicates indecisiveness on the part of the bulls and the bears.
  • The Close - High difference was -25 points which is a good sign.
  • Nifty’s range for the day was 156 (127) points.
  • Nifty made a higher high, a lower low, and a higher close.
  • The price action is bullish.

Bank Nifty 50002/+0.31%/14-6-24

  • The Open Price was +147 (284) points compared to the cloning price of the previous session giving it a positive start to the day.
  • Bank Nifty made a low at 49693 which is a downward shift to the lower base and but does not indicate a sign of concern as the close was above 50K.
  • The Close Price was +8 points from the open price which indicates indecisiveness like Nifty.
  • The Close - High difference was -101 (-340) points which is reasonable.
  • Bank Nifty’s range for the day was 409 (387) points.
  • Bank Nifty made a lower high, a lower low, and a higher close.
  • The price action is bullish.

Insights for 14-6-24

  • India Vix ended at 12.82/-4.96%.
  • Nifty Lifters +29 (+37) HDFC Bank (NS:HDBK), Reliance (NS:RELI) & M&M.
  • Nifty Draggers -13 (-21) TCS (NS:TCS), LT, and SBI (NS:SBI).
  • Bank Nifty Lifters +228 (+314)- HDFC Bank, PNB, and Axis Bank (NS:AXBK).
  • Bank Nifty Draggers -98 (-376) SBI, Kotak Bank, and ICICI Bank (NS:ICBK).
  • Even though Nifty hit yet another ATH today, it ended just around the open price which is not a good sign from a trend continuation point of view. Bank Nifty also ended in a similar manner so it is evident that neither side is able to decide which way the market is likely to go from here.
  • India Vix fell further but if it keeps falling further, it may bring in hard times for option traders in particular.

Link to the Video:

https://youtu.be/yGDAzzlAdwk?si=c3GiuWTz66IAQrW9

FII / DII In Crores

+2176 / +656

What May Happen In The Next Week:

Since the FIIs and DIIs have both ended up as buyers, it would be an interesting opening session next week which is on 18-6 as 17-6 is a trading holiday. On the one hand the big players have both bought and on the other hand, the indices have ended in a Doji mode. I find this very unusual and the opening hour may be driven more by the global cues and then the close of 18-6 is more likely to indicate which way the markets may move in the coming days - up or a bit of a fading of the up move seen so far.

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