Indian Market Strategy for 6th Oct. | Nifty Up 100 Points; 19,600 Crucial Level

Thursday saw a robust surge in benchmark indices, painting an optimistic picture.

Nifty surged, concluding 108 points higher, closely trailed by Sensex, marking an impressive 405 points hike.

Notably, media and digital sectors spearheaded the climb, each gaining over 1%, while some profit-booking activity was observed in PSU banks and healthcare stocks.

Today, Indian share markets are trading higher with the Sensex trading up by 324 points at the time of writing, while the Nifty is trading higher by 100 points.

Check out this short video for detailed market update: Market Ready by Kotak Securities

Here’s a rundown of today’s expected market movements…

Nifty Technical Analysis:

From a technical standpoint, the market opened with a resounding gap-up on Thursday, maintaining a positive trajectory throughout the day after a notable reversal.

The crucial support level to monitor for the index is pegged at 19,450/65,300. As long as this support holds, the positive sentiment is anticipated to persist. Looking up, immediate obstacles lie at the 50-day SMA or 19,610/65,800 and 19,675/66,000.

Conversely, a dip below 19,450/65,300 might weaken the trend, and if the index slips below this level, day traders are advised to exit long positions, preparing for a potential decline to 19,370 or 19,330.

Trading Strategy for Nifty:

For prudent strategic maneuvering, a recommended strategy involves unwinding weaker long positions within the range of 19,600 and 19,670 levels.

Bank Nifty Analysis:

Bank Nifty felt the pressure of profit booking, albeit remaining resilient.

A move above 44,400 could steer it gradually towards 44,600 or even 44,750 levels. Conversely, descending below 44,100 might usher a return to 43,800 levels.

To learn trading strategies you can apply in the current market, check out our expert-led courses by clicking HERE.

As always, market conditions can shift unexpectedly, so staying informed and implementing proper risk management is essential while making trading decisions.

See you tomorrow!

Kotak Securities

Disclaimer: The information provided in this article is based on technical analysis and does not constitute financial advice. Traders should exercise their own judgement and consult with financial professionals before making any investment decisions.