The Nifty 50 Index is currently trading at a CMP of 18,826.00. It has recently reached its all-time highest close, indicating a strong bullish trend on the charts. As long as the index maintains a close above the key support level of 18,500, the bullish trend is expected to persist. A close below this level may signal a potential shift in the trend.
Given the current market conditions, the recommended trading strategy would be to buy on dips, particularly near the support levels of 18,650 – 18,500. This strategy entails seeking opportunities to enter the market during temporary pullbacks or corrections within the overall uptrend.
Nifty Bank Index
If the index closes below the lower limit, which is at 43,000, it would indicate a shift towards a bearish trend. This would suggest that sellers have gained control and could lead to further downside movement. In such a scenario, the index is likely to find support at around 42,500 and 41,900.
On the other hand, if the index manages to close above the upper limit of 44,500, it would signal strength in the bullish trend and could open doors for new record highs. In this case, resistance levels to watch for would be around 45,000 and 45,500.