NIFTY 100 Index Forecast - 20 Period Moving Average
| NIFTY100 | 25,621 21.20 0.08% |
NIFTY 100 20 Period Moving Average Price Forecast For the 12th of December 2024
Given 90 days horizon, the 20 Period Moving Average forecasted value of NIFTY 100 on the next trading day is expected to be 25,002 with a mean absolute deviation of 581.73, mean absolute percentage error of 407,493, and the sum of the absolute errors of 23,851.Please note that although there have been many attempts to predict NIFTY Index prices using its time series forecasting, we generally do not recommend using it to place bets in the real market. The most commonly used models for forecasting predictions are the autoregressive models, which specify that NIFTY 100's next future price depends linearly on its previous prices and some stochastic term (i.e., imperfectly predictable multiplier).
NIFTY 100 Index Forecast Pattern
NIFTY 100 Forecasted Value
In the context of forecasting NIFTY 100's Index value on the next trading day, we examine the predictive performance of the model to find good statistically significant boundaries of downside and upside scenarios. NIFTY 100's downside and upside margins for the forecasting period are 25,001 and 25,003, respectively. We have considered NIFTY 100's daily market price to evaluate the above model's predictive performance. Remember, however, there is no scientific proof or empirical evidence that traditional linear or nonlinear forecasting models outperform artificial intelligence and frequency domain models to provide accurate forecasts consistently.
Model Predictive Factors
The below table displays some essential indicators generated by the model showing the 20 Period Moving Average forecasting method's relative quality and the estimations of the prediction error of NIFTY 100 index data series using in forecasting. Note that when a statistical model is used to represent NIFTY 100 index, the representation will rarely be exact; so some information will be lost using the model to explain the process. AIC estimates the relative amount of information lost by a given model: the less information a model loses, the higher its quality.| AIC | Akaike Information Criteria | 94.2707 |
| Bias | Arithmetic mean of the errors | 301.5858 |
| MAD | Mean absolute deviation | 581.7288 |
| MAPE | Mean absolute percentage error | 0.0231 |
| SAE | Sum of the absolute errors | 23850.8825 |
Predictive Modules for NIFTY 100
There are currently many different techniques concerning forecasting the market as a whole, as well as predicting future values of individual securities such as NIFTY 100. Regardless of method or technology, however, to accurately forecast the index market is more a matter of luck rather than a particular technique. Nevertheless, trying to predict the index market accurately is still an essential part of the overall investment decision process. Using different forecasting techniques and comparing the results might improve your chances of accuracy even though unexpected events may often change the market sentiment and impact your forecasting results.Sophisticated investors, who have witnessed many market ups and downs, anticipate that the market will even out over time. This tendency of NIFTY 100's price to converge to an average value over time is called mean reversion. However, historically, high market prices usually discourage investors that believe in mean reversion to invest, while low prices are viewed as an opportunity to buy.
Other Forecasting Options for NIFTY 100
For every potential investor in NIFTY, whether a beginner or expert, NIFTY 100's price movement is the inherent factor that sparks whether it is viable to invest in it or hold it better. NIFTY Index price charts are filled with many 'noises.' These noises can hugely alter the decision one can make regarding investing in NIFTY. Basic forecasting techniques help filter out the noise by identifying NIFTY 100's price trends.NIFTY 100 Related Equities
One of the popular trading techniques among algorithmic traders is to use market-neutral strategies where every trade hedges away some risk. Because there are two separate transactions required, even if one position performs unexpectedly, the other equity can make up some of the losses. Below are some of the equities that can be combined with NIFTY 100 index to make a market-neutral strategy. Peer analysis of NIFTY 100 could also be used in its relative valuation, which is a method of valuing NIFTY 100 by comparing valuation metrics with similar companies.
| Risk & Return | Correlation |
NIFTY 100 Technical and Predictive Analytics
The index market is financially volatile. Despite the volatility, there exist limitless possibilities of gaining profits and building passive income portfolios. With the complexity of NIFTY 100's price movements, a comprehensive understanding of forecasting methods that an investor can rely on to make the right move is invaluable. These methods predict trends that assist an investor in predicting the movement of NIFTY 100's current price.| Cycle Indicators | ||
| Math Operators | ||
| Math Transform | ||
| Momentum Indicators | ||
| Overlap Studies | ||
| Pattern Recognition | ||
| Price Transform | ||
| Statistic Functions | ||
| Volatility Indicators | ||
| Volume Indicators |
NIFTY 100 Market Strength Events
Market strength indicators help investors to evaluate how NIFTY 100 index reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading NIFTY 100 shares will generate the highest return on investment. By undertsting and applying NIFTY 100 index market strength indicators, traders can identify NIFTY 100 entry and exit signals to maximize returns.
| Daily Balance Of Power | 9.2 T | |||
| Rate Of Daily Change | 1.0 | |||
| Day Median Price | 25621.4 | |||
| Day Typical Price | 25621.4 | |||
| Price Action Indicator | 10.6 | |||
| Period Momentum Indicator | 21.2 | |||
| Relative Strength Index | 51.58 |
NIFTY 100 Risk Indicators
The analysis of NIFTY 100's basic risk indicators is one of the essential steps in accurately forecasting its future price. The process involves identifying the amount of risk involved in NIFTY 100's investment and either accepting that risk or mitigating it. Along with some essential techniques for forecasting nifty index prices, we also provide a set of basic risk indicators that can assist in the individual investment decision or help in hedging the risk of your existing portfolios.
| Mean Deviation | 0.6347 | |||
| Standard Deviation | 0.8488 | |||
| Variance | 0.7205 |
Please note, the risk measures we provide can be used independently or collectively to perform a risk assessment. When comparing two potential investments, we recommend comparing similar equities with homogenous growth potential and valuation from related markets to determine which investment holds the most risk.