Pre-open Tech View of Nifty spot for 20.10.2021

​By a staff reporter: 

*Pre-open Tech View of Nifty spot for 20.10.2021*

Yesterday Nifty lost ground for the first time in the last eight consecutive sessions though, the benchmark had a strong opening and hit fresh record high.

Yesterday Nifty gave an almost 200 points volatile sessions and day was either side whipsawed which was inbetween 18600 & 18400 mark.

Yesterday Nifty initially jumped over 18600 levels but within a hour corrected vertically. Low tested exactly 18400 and then 2nd time bouncing further but failed to cross 18600 mark H: 18590 – lower top and making a Rounding Top – Rainbow type formation with lower bottom at 18377 & finally end the session at 18419, down by 58 points and formed a Bearish Engulfing pattern on the daily charts and as per intraday chart lower top lower bottom formation which also indicates intraday weakness.

Technically as Bearish Engulfing Red Outside Bar candle formed so, it’s High & Low is very crucial for next session (Today). Last Bar High 18605 & Low 18377. Beyond that ready for Big move either side.

*Swing basis Strategies:-*

*18550-18600 levels would be the immediate hurdle and as long as sustains below that, the correction wave could continue up to 18300/275 <5dma> below 18377.*

*Traders may take an opportunity to long for 1st time inbetween 18330-18300 & even upto 18275 subject to hold 18240. But if further breaches then for very short term basis avoid buying on dips.*

*Break out only above 18600 but still may face initial hurdles around 18630/18666 & 18684.*

18700-18777 may be rock solid barriers.

Source : Eureka

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