Nifty and Bank-NIfty Index Analysis for 29-04-2021

Nifty and Bank-nifty index analysis report for 29-04-2021

· 2 min read
Nifty and Bank-NIfty Index Analysis for 29-04-2021

Fundamental News

  • Apple and Facebook declared very good results pushing US futures higher.

Global Markets

  • US markets ended lower with some large swings.
  • Asian markets are positive. ✅
  • SGX Nifty is up almost 100 points. ✅

Pre-Market View

SGX NIfty indicates a huge gap-up opening. We have two green cues. However, the previous two days have been huge trend days. And therefore such a big gap-up might not sustain. Also expiry day markets rarely trend. Hence opening drive plays to the upside would be risky.

Intraday Trade Setups

Range-breakout:

  • Both Nifty and Bank-Nifty both opened gap-up of 0.9%.
  • There was a strong opening drive to the upside in the initial candle.
  • But it couldn't sustain there and there was strong sell signal bar at the day's high.
  • For nifty, the sell-bar at the top wasn't that big.
  • At 09:45 am, nifty broke below the day's low.

Reversal Trade:

  • Bank-nifty had a good sell signal bar at the day's high.
  • At 09:40 am, bank-nifty had a good red solid bar.
  • After two legs of bearish movement, both the markets halted a bit.
  • Expiry day markets rarely trend directional and usually reverse late in the day.
  • At 11:10 am, both the markets produced a solid green bar.

Triangle breakout:

  • After reversing from bottom, markets ranged and formed a triangle structure at previous resistance.
  • At 12:50 pm, both the markets broke out of the triangle.
  • The move didn't have a good follow-through.

Market Breadth:

  • Nifty metal was the biggest gainer.
  • Nifty auto was the lagger.
  • JSWSteel was the top gainer in Nifty 50 with 9.59% gain.
  • HeroMotoco was the top loser in Nifty 50 ending at -2.37%.
  • Nifty 50 advances: 20
  • Nifty 50 declines: 29

Trade Plan for Next Session:

  • Today both the markets were fairly within range with movements both side.
  • Today, FIIs were net buyers for 809 crores while DIIs were net sellers for 942 crores.
  • If market opens flat or gap-up, there is space to the upside.
  • If market opens gap-down, the market can range.