Market Outlook: Anil Singhvi reveals 4 factors why Nifty is set to breach resistance level
In a special edition of Editor’s Take, Zee Business Managing Editor Anil Singhvi said that Nifty breaking its resistance at a higher level between 14950-15000 would be relatively easy because of various current triggers. However, he added that he is not 100 per cent sure whether it will actually happen and all we can do is wait and watch. He explains further:
Nifty has created a bottom at 14150 intraday and closing basis bottom at 14254. Singhvi adds, basically, 14150-14400 level support at a downside, and at the upper level, it’s 14800-15050. On 29 April, the market saw a high of 15044 and saw a non-stop correction from there, till 14415 levels, he said.
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For the first time, the market didn’t make a lower level on intraday level (14150) and closing basis level (14254) in the last three sessions of decline, the Market Guru said.
Citing the reasons why there are chances of the market to break resistance, Singhvi says, since it has created a lower low, there is a chance of it breaching the current level and surging, moreover, global markets, especially the US, are stronger than before, which is creating a cushion for the Indian markets.
किन 4 वजहों से निफ्टी जाएगा 15000 के पार?
अनिल सिंघवी- 14150-14400 निफ्टी के लिए मजबूत सपोर्ट... 14900 के ऊपर की क्लोजिंग या इंट्राडे में 15044 के ऊपर टिकने पर आएगी जबरदस्त तेजी#EditorsTake #Nifty #NSE #StockMarket @AnilSinghvi_ pic.twitter.com/lBGLaGIVcm
— Zee Business (@ZeeBusiness) May 10, 2021
He also adds, similarly, FIIs (Foreign Institutional Investors) are yet to create their long positions and there will emerge a buying spree that may reduce selling pressure. The remaining, traders and domestic funds will take care of the rest.
At present, FIIs Index long position is still at 53 per cent.
Singhvi expects the market to post closing of 14900 level, which he suggests is quite feasible as SGX Nifty is above 15000 levels. He adds, if it closes around 14900 then this would be the first breakout indication for the benchmark index to zoom further.
He further expects either market should give closing around 14900 level or at least breach 15044 intraday high to 15150-15200 level. Nifty posted the highest closing of 14854 on April 29, 2021.
Singhvi is 60 per cent optimistic that the market could break trading range and 40 per cent concerned that it could make an about turn from here.
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