Market commentary for Sept 5, 2024

Good Morning Everybody!
Sept. 5, 2024, Thursday

As we discussed in yesterday's commentary, opened near the exact marked support and bounced from there in the second half. is hinting at a gap-up of nearly 100 points. However, do not assume this indicates new buying. Today is the weekly expiry of the index, so a short covering rally was already anticipated. Also, expect a range-bound day, influenced by global cues and macro data.

Chasing the gap-up and breakouts is not advisable in this scenario. Instead, let the liquidity cool off and then buy only from support.

The immediate support for Nifty is at 25,195. Below this, expect a deeper cut to 25,084.

Immediate resistance is at 25,235. If we open above this, the resistance would shift to 25,322. Crossing this could lead to a short covering rally up to 25,400 levels.

has lost momentum on the daily chart and is only favorable if it sustains above the resistance at 51,507. Another major resistance is at 51,750.

Support lies at 51,260. Below this, expect a slide towards 51,099.

For , support after the gap-up would be at 23,847. If it stays above this, a good upswing towards 24,000 levels is expected. However, if it slides below this, the next support is at 23,742.

Focus for September will be on the and sectors. Textiles will follow after these.

That's all for the day. Play safe. Take care.

Have a profitable day ahead.

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