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Nifty Prediction for Thursday, 16th May 2024. Expiry Day Analysis
The Nifty index closed with a minor loss, showing buying in Mid Cap and Small Cap Stocks but selling in Large Cap Stocks. It made an Indecisive Doji candle, hinting at a sideways trend with a downward bias on Thursday. Resistance at 22,300 level may limit upward movement.
Nifty Traded Sideways for the day closing the day with a minor loss of -17.30 points or 0.08% as we saw strong buying in Mid Cap and Small Cap Stocks but selling in Large Cap Stocks and hopeless buying dragging Nifty down as the Index heavyweight HDFC Bank slipped more than 1.50% on Wednesday.
Anyway, Nifty made a Doji candle on the Daily chart which leads the traders clueless about tomorrow’s market but as the Nifty is below its 50 DEMA and it’s also facing resistance from the 22,300 level we can conclude that Nifty may trade sideways with a Downward bias on Thursday as tomorrow is also the Weekly Expiry of the Nifty50.
Looking at the Nifty 50 Stocks,
Top Gainers: Coal India, BPCL, Cipla, Power Grid, Bharti Airtel
Top Losers: Tata Motors, Asian Paints, Eicher Motors, Bajaj Auto, HDFC Bank
Also Read: 7 Best Solar Energy Stocks in India for 2024. CAGR Growth of 30%
Nifty50 Prediction for 16th May 2024
An Indecisive day for Nifty as it closed with a minor loss of 17 points or 0.08% from the previous closing as the overall sentiment and the broader view of the market are still bearish, but it’s good to see that Nifty is continuously taking support around the 22,200 level which is a positive sign for the market and till the Nifty is above the 22,200 – we may see a bullish market in coming sessions.
What to Expect on Thursday 16th May 2024
So, on Thursday, 16th May 2024 – My view is somewhere from “Neutral” on Nifty and it may open a Gap Up around the 22,250 level, but the resistance around the 22,300 level may be difficult for Nifty to break as we saw a selling from this level in the previous trading session – and this is still going to be tough resistance for Nifty on Thursday, as tomorrow is the Weekly Expiry of Nifty50.
Anyway, we may experience some volatility on Thursday because of the weekly expiry, but we need to be careful of the levels because Sellers are still active, and if Nifty breaks below the 22,200 – 22,150 then we may see Nifty taking around the 22,100 mark and further selling could lead Nifty toward the 22,000 levels – but this is less likely because of the Weekly Expiry.
But if we talk about the higher side, then I am not in favor of more upside above the 22,300 level because Nifty is still below its 50-day EMA and sellers are holding the higher levels strongly and they might not leave the positions so easily.
So here are the trading levels for Tomorrow – 22,050 – 22,325
Nifty Put and Call Open Interest Data
| Put OI (Open Interest) | Call OI (Open Interest) |
|---|---|
| 22,000 (71.02L) | 22,500 (1.04Cr) |
| 22,200 (57.26L) | 22,300 (76.09L) |
| 21,800 (50.76L) | 22,200 (68.8L) |
Nifty50 Support and Resistance for 16th May 2024
| Nifty Support Levels | Nifty Resistance Levels |
|---|---|
| 22,150 – 22,100 | 22,250 – 22,300 |
| 22.000 | 22,400 |
| 21,900 | 22,500 |
Nifty Trade Strategy for 16th May 2024
The market is likely to remain sideways with some volatility on Thursday, so staying away from Option Buying is a good move for Thursday.
Anyway, Nifty may fall below 22,200 and take support around the 22,100 level but any break above the 22,300 can lead Nifty toward the 22,400 level.
I am not confident of any Buying in Nifty so, stay away from the market on Thursday.
And, Don’t Try to Execute any Hero – Zero Strategy, because most of you are going to be Zero in the last. So Stay away from the market on Thursday.
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 🙂
