#Nifty directions and levels for Friday, December 27th:

Good Morning, friends! 🌞
Here are the market directions and levels for Friday, December 27th:

Market Overview

The global market shows a moderately bullish sentiment (based on Dow Jones), but our local market is leaning toward a moderately bearish sentiment. Today, the market may open neutral or slightly gap-up, as the Gift Nifty indicates a 40-point positive start.

In the previous session, Nifty and Bank Nifty moved in different directions; however, by the end of the day, both closed near the middle of their respective ranges. We are still in a range-bound market, and until the range is broken, we cannot expect any significant directional movement.

What about today?

It’s a bit difficult to say because Nifty is showing signs of a pullback move, while Bank Nifty is indicating a downtrend. How can we interpret this? Whenever the market exhibits such conflicting signals, it mostly leans toward consolidation. However, if both indices move in the same direction and a proper signal occurs, we can consider taking a position.

This is the basic structure. Let’s analyze the chart for more insights.

Nifty Current View

The current view suggests that if the gap-up sustains, we can expect a pullback toward 38% on the upside. After that, if rejection occurs at this level, a correction can be expected. On the other hand, if the pullback has a solid structure and is followed by a range breakout (above 38%), the pullback is likely to continue further.

Alternate View: If the market declines after the gap-up, the range-bound scenario will likely persist. In this case, the corrective targets are expected to reach a minimum of 23,609.