NIFTY’s Stability Hinges on Key Supports

NIFTY makes a new high but as usual “Despite NIFTY reaching a new high, significant inter-market divergence persists. While NIFTY IT has led the recent rally, NIFTY BANK, RELIANCE, and NIFTY AUTO have failed to confirm the uptrend. If these indices and RELIANCE don’t catch up, NIFTY could quickly reverse and break below its supports. Therefore, caution is advised, and excessive optimism should be avoided.” “The market has been relatively stagnant in recent sessions, but activity is expected to increase. Tomorrow morning, the market will likely react strongly to NVIDIA’s quarterly earnings report. Later in the day, the Reliance Industries AGM will also have a significant impact on market sentiment. These events are expected to influence market performance in the coming days.” On downside The 24,700 level remains a strong pattern support. As long as the index holds above this level, it should remain relatively stable. However, today is also a minor cycle day, as I discussed in my Sunday post. Therefore, today’s intraday low will serve as a crucial support level on a closing basis. If the index closes below today’s intraday low, it could signal an early breakdown of the pattern support.”