Market Update: Key Factors to Watch for Tomorrow’s Trading Session

Tomorrow’s Market Prediction (December 20, 2023):

Overall Sentiment:

• Mixed: The market may experience choppy trading with both upside and downside potential.
• Profit Booking: Expect continued profit booking after last week’s rally, particularly in high-flying sectors.
• Global Cues: Watch closely as global markets might influence the direction.

Specific Predictions:

• Nifty:
  o Support Levels: 21297, 21138, 21040.
  o Resistance Levels: 21419 (previous day’s close), 21554, 21652.
• Bank Nifty:
  o Support Levels: 47778, 47412, 47191.
  o Resistance Levels: 47868 (previous day’s close), 48365, 48586.

Factors to Watch:

• FII Activity: Net selling by FIIs could put downward pressure.
• Crude Oil Prices: A rise in oil prices might dampen sentiment.
• Expiry of Weekly Options: The expiry of weekly options contracts could lead to increased volatility.
• News and Events: Keep an eye on any major news or events that could impact the market.

Possible Scenarios:

• Bullish Scenario: If global cues are positive and FII activity remains muted, Nifty might try to reclaim 21,554 and Bank Nifty reach 48,365.
• Neutral Scenario: A sideways movement between support and resistance levels is likely.
• Bearish Scenario: If global cues are negative and FIIs sell aggressively, Nifty could fall towards 21,138 and Bank Nifty reach 47,412.

Additional Tips:

• Stay Cautious: Be cautious as profit booking may create volatility.
• Focus on Value: Look for stocks trading at reasonable valuations with good fundamentals.
• Manage Risk: Use stop-loss orders to limit potential losses.

Remember, the market is dynamic and unpredictable. These are just potential scenarios, and the actual outcome may differ.

Disclaimer: This information is based on technical analysis and expert opinions. It is not a guarantee of future performance.