NIFTY Price Prediction Video
Q: What is the Nifty 50 index, and what are we analyzing in this video?
A: The Nifty 50 index is India’s benchmark stock market index representing the performance of 50 of the largest and most liquid companies listed on the National Stock Exchange (NSE). In this video, we are specifically looking at the Nifty 50 index futures for our price prediction analysis, from a pure and simple technical analysis point of view.
Q: What is the NIFTY price prediction at InvestingLive?
A: At InvestingLive, our current NIFTY price prediction indicates potential bullish momentum if specific technical conditions are met. InvestingLive is the new brand of ForexLive, and by the end of this summer, forexlive.com will redirect you to InvestingLive.
Q: What does the hourly NIFTY chart indicate right now?
A: The hourly chart shows a clearly defined blue channel, with at least three touchpoints on both the upper and lower bands. Typically, the fourth touchpoint results in a breakout, either upwards or downwards.
Q: How can we identify a valid price channel on the chart?
A: A valid channel must have at least two touchpoints on each side—the upper and lower bands.
Q: What is happening with the trend formation currently?
A: Trends often form before they become obvious. In this case, a secondary trend had already started before breaking out from the initial blue channel. Despite one touchpoint being overshadowed, the secondary channel remained intact until it broke down.
Q: What is indicated when an upward-trending channel breaks downward?
A: When an upward-trending channel breaks downward, it creates a technical pattern known as a bear flag.
Q: What technical pattern is forming currently in NIFTY?
A: Currently, NIFTY is forming a potential bull flag pattern, indicated by the regression channel.
Q: What needs to happen for a bullish scenario to play out?
A: For a bullish scenario, NIFTY must break upward from the current bull flag pattern. Prices often retest support after a breakout, which hasn’t occurred yet. A retest around the double-support level between 25,400 and 25,350 would strengthen this bullish scenario.
Q: What price targets should traders watch for if the bullish scenario occurs?
A: If we see the dip and successful retest, the NIFTY could rally towards at least 25,700, representing a gain of about 1.3% or 328 points from the retest level. Bull flags typically surpass the original pole’s high, making 26,000 a feasible next target for patient traders.
Thank you!
Always trade the NIFTY at your risk only. This article and the NIFTY price prediction video are opinions only and are NOT financial advice.
This article was written by Itai Levitan at www.forexlive.com.