Trend: short-term down
Medium term down
Primary : Make or Break
Nifty future closed the week at 8210.55 after making the intraday high of 8247.Volatility continues to be high in the past week after bears fully controlled the whole april series. The first week of may was again in favor of bears.
After the initial upside move of 137 points on monday trading session followed by Tuesdays range bound move the bears fully dominated the Wednesday’s trading session when nifty broke down and lost almost 234 points in a single trading session. The carnage continued on thursday and nifty made lows of 8020.55 before a small pullback towards the weekly close on friday.
Our given level below 8300 was 8000 in the previous nifty update and low of the week made 8020.55.
Now week ahead the major resistance remains @ 8300 levels above which if market holds then next would be 8350-8380 on downside the supports at 8050 below which next down leg towards 7900-7850 will begin.
The volume has been higher in correction and shallow on the rallies which also suggest that market is trending down in favor of bears. There has been a range shift in RSI and the 14 day RSI is now trading @ 40.40. MACD indicator which given a bearish crossover in mid april is still trending negative below its 0 line.
Nifty future is trading below is crucial long-term and short-term moving averages and making lower top lower bottom formations. Avoid bottom fishing.