Short

il y a 11 heures

I am currently reassessing my targets for the Nifty. If the level of 23,080 is breached and the index closes below this support, I will adjust my target to around 20,200, as this would indicate a more significant market correction is underway.

This level aligns with the 50% Fibonacci retracement of the recent rally, which further strengthens the case for this correction. In my view, this level is not only plausible but inevitable, given the current market dynamics.

The broader market is signaling a potential major top, which suggests that the risk of further downside is increasing. In this environment, simply averaging into the market can be highly risky, as it may expose investors to larger losses if the market continues to decline.

Instead, I recommend adopting a more strategic approach to portfolio construction, focusing on calculated risks. This means selectively building positions based on strong, risk-adjusted opportunities rather than committing large capital indiscriminately. It’s essential to have a clear risk management plan in place, especially in volatile conditions like the current market environment.