“Last Friday, we anticipated NIFTY to complete its current bullish structure by forming a higher high above 25,800 and a lower low below 25,377. This structure was activated on September 12th when NIFTY decisively broke through its critical resistance at 25,333. From that point, the market’s dynamics became increasingly intricate and intriguing. The rallies in U.S. indices on September 11th and Indian indices on September 12th shifted the short-term outlook for both markets to bullish. This typically suggests a timeframe of approximately 12 to 15 days. Consequently, we should be nearing the culmination of this short-term trend within the next 3 to 4 trading sessions. The market’s actions over the coming days will be pivotal for ensuring a harmonious alignment of price and time cycles.”
Technically, near-term support for NIFTY is currently at 25,700. This level of 25,700 was calculated by drawing a diagonal of a square constructed using the closing high of 25,940. If NIFTY drops below 25,700 on an end-of-day (EOD) basis, it could be dragged further lower towards its pattern completion point of 25,377. The major structural support would be at 25,250. A drop below that level might push NIFTY towards a retest of its September 9 low of 24,753. Therefore, 25,700 must break first, followed by the other mentioned supports.
Regarding time, September 26 is a key date, followed by October 1 and October 3. October 1 is particularly important because it is a price and time squaring date.
“S&P 500 Consolidates: Key Levels to Watch”
Lastly, let’s discuss the S&P 500, which has been consolidating since last Friday. As discussed earlier, there are no signs of weakness until it holds the September 19 low on a closing basis. Resistance on the upside is at 5,775. On the time front, September 26 is an important cycle date, followed by September 30 and October 1. Interestingly, the S&P 500 and Dow Jones Industrial Average are exhibiting a similar intermarket divergence with the Nasdaq, reminiscent of January 2022. If the Nasdaq fails to reach new highs, history might repeat itself.”
gann,insides 