NSE Nifty 50 index is eyeing 17500 target in the present week to 9 September possibilities expiry. In today’s upbeat session, Nifty 50 hit a new all-time higher of 17311.95, though Bank Nifty topped 37100. Analysts anticipate Bank Nifty to outgun Nifty 50 index and hit a fresh higher of 37900 for the duration of this week’s expiry. Within the banking sector, analysts see private banks major the surge though the contribution is restricted from the PSU pack. “We suggest maintaining the ‘buy on dips’ approach till it holds above the 36200 zone and advise giving preference to the private banking majors,” Ajit Mishra, VP – Research, Religare Broking, told TheSpuzz Online. Both Nifty 50 and Bank Nifty ended the prior weekly F&O expiry on a positive note. Nifty settled 2nd September expiry at 17234.15, and Bank Nifty at 36831.30 levels.
Ajit Mishra, VP – Research, Religare Broking
Nifty has been witnessing a steady up move right after the breakout of the 16,000 resistance zone in early August with intermediate corrective phases. We’re seeing noticeable purchasing interest in index majors across sectors on a rotational basis, which is not only capping the downside but also assisting the index to keep the prevailing momentum. We are now eyeing 17,500 in Nifty. In case of any dip, the 17,200-17,050 zone would act as help.
Bank Nifty has witnessed a breakout from a 2-month lengthy consolidation channel of late and appears upbeat to inch progressively towards its record higher i.e. 37,700+ zone. Within the sector, private banking names are major the surge though the contribution is restricted from the PSU pack. We recommend sustaining the “buy on dips” method till it holds above the 36,200 zone and advise providing preference to the private banking majors.
Milan Vaishnav, CMT, MSTA, Consulting Technical Analyst and founder, Gemstone Equity Research & Advisory Services
The outlook for Nifty as per the weekly possibilities information appears quite significantly mixed. Today, considering the fact that morning, the strike of 17300 has seen maximum each Contact and Place writing whereas the 17300 holds the highest Call Open Interest. Unless this alterations, the Nifty is set to face resistance in the 17300-17350 zones. Maximum Place OI stands at 17200. So, unless there is a big tactical transform in the OI, the Nifty may possibly witness a variety-bound expiry week.
Bank Nifty appears more buoyant on a relative basis. 37000 has seen highest Place writing today this indicates this level may possibly effectively be fantastic help. But at the very same time, 37000 also holds maximum Call OI. This hints that the 37000 level may possibly be an inflection point for Bank Nifty. If Bank Nifty keeps its head above 37000 for lengthy, we may possibly see some more upside taking place in this index.
Ashis Biswas, Head of Technical Research at CapitalBy way of Global Research- Investment Advisor
Our analysis suggests that with the present inflow of funds from the larger institutions in India. We can anticipate the industry to stay positive. With the speedy financial recovery we can anticipate the Nifty to trade till the level of 17400-17450 inside this week and Bank Nifty can outperform Nifty with all big banks seeking fantastic in brief term and can attain the level of 37800-37900 in this week’s expiry.
(The suggestions in this story are by the respective analysis analysts and brokerage firms. TheSpuzz Online does not bear any duty for their investment tips. Capital markets investments are topic to guidelines and regulations. Please seek advice from your investment advisor just before investing.)