Nifty 50 for the next week (Dec 13–17)
On left hand side chart, there is an upward channel on weekly time frame since Sep 2020 and downward channel from mid October 2021.
NIFTY
On right hand side, downward channel formed since October 19, 2021 is focused on daily time frame.
Observations:
A) On weekly chart, Nifty has taken support at the lower band of upward channel.
B) On daily chart, Nifty closed at the upper band of downward channel today (Dec 10, 2021).
Conclusion:
1. If Nifty breaks the upper band of downward channel at (B), the central line of upward channel can play as key resistance at 18130-18220. (more likely scenario)
2. On downside, the lower band of upward channel can play as support at 16985 – 17050.
NIFTY
On right hand side, downward channel formed since October 19, 2021 is focused on daily time frame. Observations:
A) On weekly chart, Nifty has taken support at the lower band of upward channel.
B) On daily chart, Nifty closed at the upper band of downward channel today (Dec 10, 2021).
Conclusion:
1. If Nifty breaks the upper band of downward channel at (B), the central line of upward channel can play as key resistance at 18130-18220. (more likely scenario)
2. On downside, the lower band of upward channel can play as support at 16985 – 17050.
Nifty closed the week at 16985, the lower band of support range.
This level is also a triple support point (for detailed chart please go to the link below). Below this level further weakness can be expected.
Detailed chart presented at