Sensex Analysis for 16-08-2024: Support & Resistance Levels

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On August 14, 2024, the Sensex experienced a volatile trading session, closing at 78,956.03, down 692.89 points (-0.87%). The day saw the index opening at 79,105.88, with an intraday high of 79,228.94 and a low of 78,895.72. This decline was largely driven by profit booking and global market cues, with the index forming a long bearish candlestick, indicating potential further downside.
Impact of Gap Up
As of August 16, 2024, Gift Nifty is showing positive momentum with an opening around 24,324, reflecting a gain of approximately 156 points (+0.65%) from the previous session. This movement is underpinned by favorable global cues and expectations of a stable economic environment following recent macroeconomic data.

Key Technical Levels:
Support Levels: 24,100 and 23,900
Resistance Levels: 24,450 and 24,600
Technical Indicators for Sensex:
Max Pain: 79,100
PCR (Put-Call Ratio): 0.70 Neutral to Bearish
IV (Implied Volatility): 13.03 as of the closing on 14-08-2024.
Support Levels
Sensex is expected to remain under pressure with key support levels around 79,000 and 78,600.
Resistance Levels
If the index sustains above these levels, a pullback towards the resistance levels of 79,600 and 79,800 is possible.
The Sensex displayed mixed signals with technical indicators favoring a cautious stance:
RSI (14) at 42.33 indicates a sell signal, suggesting the index is neither oversold nor overbought.
MACD showed a negative divergence, reinforcing the sell signal.
Top Gainers:
Reliance Industries: Increased by 2.3%, closing at ₹2,650.
Tata Motors: Gained 1.9%, closing at ₹685.
HDFC Bank: Rose by 1.6%, closing at ₹1,670.
Top Losers:
Infosys: Fell by 1.8%, closing at ₹1,440.
ITC: Decreased by 1.5%, closing at ₹452.
TCS: Dropped by 1.2%, closing at ₹3,240.
Open Interest (OI) Analysis and Technical Indicators:

OI data indicated a buildup in call options at the 79,500 strike, hinting at significant resistance at this level. Conversely, the 78,500-strike price saw substantial put writing, reinforcing it as a critical support level.
Bullish/Bearish Levels
Bullish Level: 79,600 If sustains
Bearish Level: 78,400 If Fails
Stay tuned for more updates on Sensex prediction to navigate the volatile market conditions effectively.
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