*** Tomorrow's View on Nifty Performance 2-June-2023 ***
- The Nifty50 index has formed a Bearish Belt Hold pattern on the daily chart, which suggests a bearish outlook.
- The pattern was formed after the index broke below its key support level of 18,600.
- The next crucial support level for the Nifty50 index is at 18,500, which could be a make or break level for the index.
- The Bank Nifty index has also formed a Bearish Belt Hold pattern and is likely to remain under pressure in the near term.
- The open interest data suggests that the market is witnessing short positions in the Nifty50 index.
- The delivery percentage of some of the stocks, including Reliance Industries, HDFC Bank, and ICICI Bank, has been higher than the average delivery percentage.
- The build-up and unwinding of positions in stocks like Tata Steel and Hindalco Industries suggest that traders are taking cautious positions.
- The India VIX fear index has fallen sharply, which suggests that the market is less volatile and more stable.
- The MACD indicator shows that the Nifty50 index is in a bearish trend and could remain under pressure in the near term.
- The RSI indicator suggests that the Nifty50 index is oversold, which could lead to a bounce-back in the near term.
- The Nifty50 index has been trading below its 20-day and 50-day moving averages, which indicates a bearish trend.
- The Bank Nifty index has been trading below its 20-day and 50-day moving averages, which indicates a bearish trend.
- The market breadth has been negative, with more declines than advances, which suggests a bearish sentiment.
- Nifty50's immediate support level is at 18,300.
- The next support level for Nifty50 is at 18,200, which is the 50-day exponential moving average.
- On the upside, the index's immediate resistance level is at 18,500.
- The 18,500 level is crucial for further direction in the market.
- If Nifty50 manages to hold above 18,500, it could move towards 18,700 and 18,850 levels.
9. Bank Nifty's immediate support level is at 44,000.
- The next support level for Bank Nifty is at 39,500, which is the 50-day exponential moving average.
- On the upside, Bank Nifty's immediate resistance level is at 39,600.
- If Bank Nifty manages to hold above 39,600, it could move towards 40,000 and 40,300 levels.
- The open interest in Nifty50 futures decreased by 1.24% while the market was down by 1.68%.
- The delivery percentage in Nifty50 futures decreased to 60.17% from 62.66%.
- The open interest in Bank Nifty futures decreased by 1.45% while the market was down by 2.45%.
- The delivery percentage in Bank Nifty futures decreased to 47.18% from 47.49%.