Trade setup for Monday: Top 15 things to know before Opening Bell
The market extended losses, amid volatility, for second consecutive session and closed with moderate losses on February 4 as elevated oil prices and rising US bond yields after hawkish stance by Bank of England & European Central Bank dented sentiment.
The BSE Sensex fell 143.20 points to 58,644.82, while the Nifty50 declined 43.90 points to 17,516.30 and formed bearish candle on the daily charts. The index gained 2.4 percent during the week and formed bullish candle which resembles Shooting Star kind of pattern formation on the weekly scale.
"The Nifty50 registered a Shooting Star kind of formation on weekly charts with a long upper shadow hinting that pull-back attempt from the lows of 16,836 to a recent high of 17,794 levels is weakening. Moreover, despite the recent upsurge, most of the momentum indicators remained in the sell mode," said Mazhar Mohammad, Founder & Chief Market Strategist at Chartviewindia.
If the Nifty doesn’t stabilise above 17,462 in the next couple of sessions, it can slip to 17,244 levels. If it closes below 17,244, it will confirm the end of the pullback rally.
Contrary to this, if the index sustains above 17,462, it can lead to sideways consolidation, Mohammad said.
The broader markets also fell further with the Nifty Midcap 100 index declining 0.76 percent and Smallcap 100 index down 0.92 percent.
We have collated 15 data points to help you spot profitable trades:
Note: The open interest (OI) and volume data of stocks given in this story are the aggregates of three-month data and not of the current month only.
Key support and resistance levels on the Nifty
According to pivot charts, the key support levels for the Nifty are placed at 17,446.66, followed by 17,377.03. If the index moves up, the key
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