|A daily wrap up on the market, which will keep you updated on what happened in the day and what to expect for the next trading session
The level of 5200 is still intact.. However, today’s bearish candle raises doubts about an upmove in Nifty.
Nifty opened negative on the back of negative guidance by Infy but was above to curtail its losses and moved back in the green. However sudden sell off in the latter half of the session took it below important support levels for once and it finally concluded with a loss of 69 points at 5207. Amongst the sectoral indices the BSE HC index was the outperformer whereas BSE IT index lost the most.
Despite taking support near the level of 5200, the upside of past couple of sessions was quickly eroded in the latter half in today’s session. Nifty also breached the swing low that was formed day before yesterday but managed to give a close above 5200. The level of 5335 appears as a very severe resistance for Nifty to cross, as every attempt to move past through this level (which implies clearing the resistance offered by a declining Channel) is met with severe selling pressure.
Today’s breach of 5200 was a bearish sign, however Nifty has now support placed near 5160 and below that 5136 is absolute important level to watch out for. In coming few sessions if Nifty is unable to respect this range then we may see further decline till 5050. On the higher side now the level of 5305 is most critical resistance for Nifty to cross if it has to move any higher.
Intraday resistance for Nifty is placed in the range of 5245 to 5260.