Nifty Batting 18003, Bank Nifty 38347; will This Rally Sustain?

  • Stock Market Analysis
NIFTY 50 EOD ANALYSIS 10-1-22

In this post, I talk about the analysis for the day and the trading range for tomorrow. The video discusses with the help of the charts how the indices as well as leading stocks performed during the day and their likely play tomorrow.

O 17913.30

H 18017.45

L 17879.15

C 18003.30

EOD +190.60 points / +1.07%

SGX Nifty 10-1-22 @ 1905h = -42

FII DII = Not yet available

CHART BASED CONCLUSIONS using 5 Minutes Chart

Nifty opened with a gap-up of 100 points and after the initial hesitation and break of the opening low, it resumed its journey on the way up.

It then faced resistance around 17960-70 and then made another attempt to cross the level and failed and fell back to 17900 zone and then just before noon, it made a steady yet choppy ride up the ladder.

Nifty closed above 18000 and has now broken the great resistance at 18000.

The indices have made higher highs and higher lows.

NIFTY WEIGHT LIFTERS & DRAGGERS

Top 5 Lifters contributed = 103

Top 5 Draggers contributed = 17

Net = +86

BANK NIFTY WEIGHT LIFTERS & DRAGGERS

Top 3 Lifters contributed = 437

Top 3 Draggers contributed = 01

Net = +436

POSITIVES

Nifty closed above 18000 and Bank Nifty well above 38200.

Infosys (NS: INFY ) regained its positivity and led from the front.

It is also good to see HDFC (NS: HDFC ) managing to stay well above 2600 and helping Nifty gain steadily.

ICICI Bank (NS: ICBK ), State Bank Of India (NS: SBI ), and Kotak Mahindra Bank Ltd. (NS: KTKM ) lifted Bank Nifty yet again.

NEGATIVES

TCS (NS: TCS ) fell 100 points from its opening high.

India VIX has not yet cooled down despite the indices going up so strongly.

Reliance (NS: RELI ) barely managed to stay positive and this could prove to be a worrisome scrip.

TRADING RANGE FOR 10 JAN 22

Nifty support = 17600-700 [revised upwards as Nifty closed above 18000]

Nifty resistance = Every 50 points

Bank Nifty Support = 36800-37000

Bank Nifty resistance = 38500-38700-39000

INSIGHTS / OBSERVATIONS
  • The underlying tone of the indices was very strong as the Nifty low was 60+ points above the close of 7-1. Likewise, Bank Nifty's low was almost 200 points above the close of 7-1-. These two levels would now act as important supports and the gap between the two would attract the indices as and when there is some sort of profit booking or compliance with the global cues.
  • On the back of a buy-back offer, TCS made an opening high of 3979 and then lost 100 points and ended the day at 3879. So the euphoria was over and those who had the news already banked gains and brought down the scrip to level.
  • It is a bit surprising that the indices have ignored the negative sentiment in FTSE and closed on a very strong note. To some extent, this is worrisome as well. If and when they correct, that is likely to be sharp and quick.
  • Even the domestic cues on the Covid front are not encouraging and India Vix has also not cooled down, yet even sensitive scrips like IRCTC (NS: INIR ), IndiGo, and Inox Leisure (NS: INOL ) have performed well. This in a way is a good sign as long as it indicates the ability of these companies to weather the adverse impacts.

Here is the link to the video:
https://youtu.be/Kyq1ie12J-w

Thank you, and Happy Money Making!

Note -
Not SEBI registered
The post is for educational & informational purposes only.

Drop an image here or Supported formats: *.jpg, *.png, *.gif up to 5mb

Error: File type not supported

Drop an image here or

100
  • Shubham Shinde @Shubham Shinde
    sir plz share these types of u r observation everyday
    Like 0
  • Shubham Shinde @Shubham Shinde
    sir plz share these types of u r observation everyday
    Like 0
    • Umesh Rindani @Umesh Rindani
      Thank you for the feedback. I am doing it already. Please check my daily posts.
      Like 0
    • Drop an image here or Supported formats: *.jpg, *.png, *.gif up to 5mb

      Error: File type not supported

      Drop an image here or

      100
  • Kawdu Dhongade @Kawdu Dhongade
    yes
    Like 0
  • Shreya Bashte @Shreya Bashte
    HelloI like all  4 points of your observations. thank you
    Like 0
    • Umesh Rindani @Umesh Rindani
      Thank you for the feedback.
      Like 0
    • Shreya Bashte @Shreya Bashte
      Like 0
    • Drop an image here or Supported formats: *.jpg, *.png, *.gif up to 5mb

      Error: File type not supported

      Drop an image here or

      100
  • bhanu solanki @bhanu solanki
    thanks
    Like 1
    • Umesh Rindani @Umesh Rindani
      Thank you for the feedback.
      Like 0
    • Drop an image here or Supported formats: *.jpg, *.png, *.gif up to 5mb

      Error: File type not supported

      Drop an image here or

      100
  • Harshvardhan Nahata @Harshvardhan Nahata
    tomorow17600 :) Market is making fool of bulls, gonna blow up soon, this rally is not natural
    Like 2
    • Umesh Rindani @Umesh Rindani
      Thank you for the feedback.
      Like 0
    • Ajay Birla @Ajay Birla
      Good one...
      Like 1
    • Drop an image here or Supported formats: *.jpg, *.png, *.gif up to 5mb

      Error: File type not supported

      Drop an image here or

      100
  • Harshvardhan Nahata @Harshvardhan Nahata
    tomorow17600 :) Market is making fool of bulls, gonna blow up soon, this rally is not natural
    Like 0
  • Mohammed Saheer @Mohammed Saheer
    Market fear will start due to lockdown
    Like 3
    • Umesh Rindani @Umesh Rindani
      Thank you for the feedback.
      Like 0
    • Drop an image here or Supported formats: *.jpg, *.png, *.gif up to 5mb

      Error: File type not supported

      Drop an image here or

      100
  • Mohammed Saheer @Mohammed Saheer
    Market fear will start due to lockdown
    Like 1
  • Kiran Gurung @Kiran Gurung
    tomorrow will be a Bloody day
    Like 6
    • Umesh Rindani @Umesh Rindani
      Thank you for the feedback.
      Like 0
    • Drop an image here or Supported formats: *.jpg, *.png, *.gif up to 5mb

      Error: File type not supported

      Drop an image here or

      100

Related Articles