Nifty InstaView 04 May’21: Very Interesting

Nifty View: Post today’s negative close the current price situation of the benchmark Nifty index is quite interesting. On a day-on-day basis, the index has created a sequence of higher-highs and higher-lows with the price closing down. This allows us to work with two important short-term levels. On the upside, it is today’s high of 14,765, a move above which will set buying impetus and on the downside the recent two-day low of 14,460 a breach of which will set in fresh selling. The underlying short-term trend of the index is still very much down and we need the participation of index large caps especially the banking & financial stocks for this trend to reverse on the upside. Strategically it makes sense to stay cautious and trade as short-term as possible without carrying heavy overnight positions.     


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