Today Trading Plan: Can Nifty 50 and Bank Nifty Defend Crucial Levels Amid Consolidation?
The stock market seems quite unpredictable and today every trader has only one question in mind – what should be the today trading plan? Will Nifty 50 and Bank Nifty be able to defend their Friday lows or will the market come under more pressure? Experts’ analysis and technical charts give us a clear picture which can be quite important for short-term trading.
Today Trading Plan for Nifty 50
In the last trading session of last week, both Nifty and Bank Nifty showed buying interest and closed with a positive bias. For now, the benchmark Nifty is expected to be in the range of 24,600–24,900. If this zone breaks, 24,500–24,450 below will act as a strong support. On the upside, the 25,000 level is a major hurdle which will not be easy to break.
On September 5, Nifty 50 gained just 7 points to close at 24,741, while Bank Nifty settled with a small gain of 39 points at 54,115. This indicates cautious optimism in the market. Market breadth was also in favour of the bulls, with 1,411 stocks closing in the green while 1,365 stocks closed in the red.
Nifty Outlook and Strategy – Today Trading Plan
Technical Analyst Rajesh Bhosale of Angel One says that there is still a lot of uncertainty. Nifty did not show a strong rally despite positive domestic cues like GDP and GST 2.0. A higher bottom has formed on the charts which means that the bulls are still active, but the index is still trading in a lower-top structure.
Candle patterns suggest that the market is in a consolidation phase. A bullish Marubozu candle was formed near 24,430 and a bearish Marubozu near 25,000. This clearly creates a tight range of 24,400–25,000 from where the next directional move will emerge.
For today, if we talk about Nifty levels, a strong support zone is seen near 24,600 and 24,500. On the upside, resistance is seen near 24,800-24,900 where the market can pause for a while. In this situation, the simplest trading plan can be to buy Nifty Futures on slight dips, especially around 24,750. It will be safe to place a stop-loss at 24,600 and if the momentum is positive, then a target of 25,000 to 25,100 can be comfortably achieved.
Weekly Nifty View – Today Trading Plan Insights
According to Rajesh Palviya of Axis Securities, Nifty gained 314 points last week and formed a bullish candle but the shadow above it clearly showed that breaking the 25,000 resistance is tough. For the last 6 weeks, the index has been stuck in a consolidation range of 25,000–24,350.
The 20-day SMA is near 24,699 which will become a crucial pivot level. If the index sustains above 25,000, buying momentum can be activated and push Nifty to the zone of 25,200–25,500. But if it falls below 24,650, the selling pressure can pull Nifty towards 24,300.
The broader range for this week is expected to be 25,500–24,300 with a mixed bias. RSI is also showing signs of a positive shift which may provide some relief. Strategy is clear here as well – buy Nifty Futures around 24,600 with stop-loss of 24,500 and target 24,850–24,950.
Bank Nifty Outlook – Today Trading Plan
Talking about Bank Nifty, the structure is still in a tight range. Buyers are still defending crucial supports and hence there is a possibility of a short-term bounce. But the overall trend is slightly downward and experts say that aggressive bets should be avoided.
According to the analysis of Rajesh Bhosale of Angel One, 53,750–53,600 is a strong support zone. If it breaks, more selling can come. The first resistance for Bank Nifty is in the zone of 54,450-54,500. If the index breaks this level and sustains higher, there are chances that it can rally towards the range of 55,000-55,300. From a trading point of view, a better plan would be to buy Bank Nifty futures on a slight decline, around 54,200. To manage the risk, it is important to keep the stop-loss below 53,850, and upside targets of 54,800-55,000 can be comfortably achieved.
According to the analysis of Rajesh Palviya of Axis Securities, Bank Nifty gave a gain of 459 points last week and formed a bullish candle. But indecisiveness is still high. The support of 53,500 is crucial. If it breaks, the index can fall to 52,900–52,500. But if it sustains above 54,500, a rally to 55,000–55,500 is possible. The strategy here is clear – sell Bank Nifty around 54,300 with a stop-loss of 54,450 and target 54,000–53,850.
Conclusion – Today Trading Plan for Traders
The market is currently in a delicate phase where both Nifty and Bank Nifty are in a consolidation range. Trading at immediate support and resistance levels is the safest strategy. For traders who want to take intraday or short-term positions, Today Trading Plan says that keep patience and trade only near breakout or support.
Disclaimer:
This article is only for educational and informational purposes. Investing and trading in the stock market is risky. Before taking any decision, take the advice of your financial advisor or expert.
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Nifty Performance: Can GST 2.0 Reforms Spark a Market Redemption This Week?
