Indian Market Strategy for 10th Oct. | Nifty Up 88 Points; 19,450 Crucial Support Level

The recent geopolitical tensions reverberated through the market, exerting significant selling pressure on the benchmark indices yesterday.

Nifty endured a 141-point decline, and Sensex grappled with a substantial 483-point downturn.

The technology sector witnessed a surge in buying interest at lower levels, contrasting with a dip of over 1.5% in Media and PSU Banks indices.

Today, Indian share markets are trading on a positive note with the Sensex trading up by 289 points at the time of writing, while the Nifty is trading higher by 88 points.

Check out this short video for detailed market update: Market Ready by Kotak Securities

Here’s a rundown of today’s expected market movements…

Nifty Technical Analysis:

Technically, yesterday the markets unfurled with a gap down, and Nifty traded persistently below the 50-day Simple Moving Average (SMA) set at 19,605/65,800.

The intraday market dynamics appeared non-directional, indicating traders were on standby for a decisive breakout.

Trading Strategy for Nifty:

Bullish traders should set their sights on the immediate resistance zone at 19,605/65,800.

Concurrently, establishing a solid support at 19,450/65,400 is crucial.

A breach above 19,605/65,800 could propel the market to 19,675-19,700/66,095-66,150.

Crossing the 19,700 threshold would augur well for the market, potentially propelling it towards 19,800 and 19,900 in the forthcoming days.

Conversely, a dip below 19,450/65,400 could lead to a retest of the 19,400-19,330/65,100-64,850 level. Given the market's volatile texture, day traders are advised to implement a level-based trading strategy.

Bank Nifty Analysis:

Bank Nifty finds itself entrenched in significant selling pressure, requiring a breakthrough above the 44,500 level to alleviate it.

However, attaining this seems a distant prospect currently. A bullish sentiment might reignite once the index surges beyond 44,150, potentially driving it towards 44,500. Conversely, a drop below 43,800 could precipitate a swift descent to 43,500.

In the realm of the Nifty IT index, an upward trajectory is anticipated post breaching the 32,700 level.

To learn trading strategies you can apply in the current market, check out our expert-led courses by clicking HERE.

As always, market conditions can shift unexpectedly, so staying informed and implementing proper risk management is essential while making trading decisions. See you tomorrow!

Kotak Securities

Disclaimer: The information provided in this article is based on technical analysis and does not constitute financial advice. Traders should exercise their own judgement and consult with financial professionals before making any investment decisions.