Nifty: Extreme Bullishness @ 14,500

12 Jan 2021

Benchmark Nifty continues to rally ahead with another positive daily close to inch close to 14,500 in yesterday’s session. Prices on the 75min charts have very well now entered back inside the rising channel, a recent break below which has raised possibilities of a correction. There is no signs of reversal or negativity from prices at the current juncture, but readings on momentum are quite extreme. Such readings generally do lead to some slow down, not necessarily reversal. The index will test 14,500 and may slow down to consolidate. Immediate supports are at (14,380-14,400). Strategically for short-term traders, it makes sense to stay bullish and look for momentum breakouts on the upside.

Trade Well. Trade Wise.