Nifty Trade Setup for 01 July. 2022

Nifty 50 Index finished a choppy session flat on Thursday, as gains in select financial stocks were offset by losses in the IT, metal and auto sectors. The index closed its rangebound session on a negative note, the monthly expiry day for June F&O. India VIX (Volatility) cooled down a bit to 21.84 levels, but still above the crucial 20 mark which can favour bears and create discomfort for bulls going ahead.

India USD – 2Hr TF
After giving a false breakout, the Index has been consolidating inside the range of 15,950 and 15,650 levels for the last 1 week. Hence, a directional move is unlikely to emerge unless the index comes out of this range. The index is taking support from the dynamic trendline and is facing multiple rejections on the upside forming an ascending triangle pattern. A fresh uptrend rally is possible if the index breaks out and sustains 15,950/16000 levels and the index can test 16,300. However, if the index fails to sustain the previous swing low (15,650), it can fuel a downfall to 15350/15,200 levels.