Nifty Next Week. Will it turnaround or tank further?

Nifty has broken all but final support in the run up to the Budget Week following the report by an FII firm against Adani group which holds shorts for the same. Although loan books of Private banks and many PSU banks has nothing to do or negligible involvement in the group, the full Bank Nifty has tanked due to a knee jerk reaction by the investors.

Although there is nothing new in the report that investors did not know. When investors react in a panic mode at times the stocks having good and great valuation also get beaten along with the High valuation stocks. That is the nature of stock market. It is a spell which at times transfers money from the impatient to the patient. At the same time one should not be fool hardy and inflict pain upon oneself by holding on to the burning coal. The philosophy is intended and most of you will understand what I mean here.

17550 and 17457 are the key supports if broken we might be looking at 17341, 17103 or even 16746 levels. On the upper side in case of a turnaround and good budget the resistances will be near 17762, 17841, 17880 and 17978 before we can hit 18K levels again.