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Nifty Prediction for 20 September 2024.
Nifty initially rose after the US Fed's 50bps rate cut but fell throughout the day, ending with a minor gain below 25,500. Nifty Midcap and Smallcap underperformed. Technical indicators show multiple bearish signals, suggesting potential corrections ahead. Market expectations for September 20, 2024, are neutral, with possible gains led by IT stocks as the US and other global market is trading higher.
Nifty opened higher following the US Fed 50bps rate cut, but as I mentioned in yesterday’s article that, the 50bps rate cut and more indicates a fear of recession in US – hence we don’t see such a positive reaction in the markets, and so in Indian Market.
Following this Nifty opened higher but soon it started falling after making a new high of 25,611.95 and continued to fall throughout the day and formed a shooting star candlestick on the hourly chart and ended with a minor gain of 38 points – below the 25,500 mark.
Despite an overall positive market, Nifty Midcap and Small underperformed today where the Nifty Midcap fell by nearly half percent and the Nifty Smallcap fell by 1.26 percent. Also, the Nifty PSE and the Oil and Gas Index saw a decline of more than 1% percent.
Looking at the Nifty 50 Stocks,
Top Gainers: NTPC, Titan, Nestle India, Kotak Mahindra Bank, Tata Consumer
Top Losers: BPCL, Coal India, ONGC, Adani Ports, Shriram Finance
Also Read: 7 Best Solar Energy Stocks in India for 2024. CAGR Growth of 30%
Nifty 50 Prediction for 20 September 2024
On the hourly chart, Nifty formed a Shooting Star candlestick after opening to a new high and trading above 25,600 but in the first hour, after the formation of the bearish pattern, it started falling, ending the day with a marginal gain of just 0.15% which is beyond expectations after a historic rate cut by US Fed last night.
Anyway, following the Nifty chart, it still trading inside the Rising Wedge pattern which is mostly a bearish reversal pattern, which indicates a potential correction in Nifty in the near term.
Also, on the daily chart of the Nifty50, we can see a Spinning Top Candlestick on the top of the chart, which is also a bearish reversal pattern (mostly) – so, as of now we have multiple bearish indications in the Nifty chart, where Nifty is facing resistance from the 25,500 level – hence we may see a sharp correction in the Nifty50 in the coming days.
As of Now, Nifty is trading above its all short and long-term moving averages, and till it trades above these moving averages – there is no need to worry about but once it falls below any major one, and starts facing resistance crossing above then we can expect a fall shortly.
What to Expect from Nifty on 20 September 2024
Following the analysis, the market view is neutral as of now, but there may be a correction in the Nifty soon – as the Nifty is giving too many bearish signals.
So, as of now, Nifty is likely positive where it’s expected to rise above the 25,500 once again on Friday, 20 September 2024. So, for tomorrow, we expect a positive start for Nifty, where the IT stocks will likely lead the market as the US market is trading higher, where the IT-loaded Nasdaq is trading more than 2% higher and other major indices are also trading in green with a gain of over 1% each.
Hence for 20 September, the nearby resistance for Nifty is at 25,500 followed by 25,600, 25,800, and 26,000 marks. Where the support is at 25,400 followed by 25,200, and the strongest once at the 25,0000 level.
“Here are the trading levels for Nifty – 25,200 – 26,000“
Nifty 50 Support and Resistance for 20 September 2024
| Nifty Support Levels | Nifty Resistance Levels |
|---|---|
| 25,400 | 25,500 |
| 25,200 | 25,600 |
| 25,000 | 25,800 – 26,000 |
Note:- For the Most Accurate Data you can revisit this Page after 11:00 AM (during Trading hours), so we can update the Trade Setup after analyzing the Market.
Happy Trading 🙂
