|Nifty yet to clear the level of 4960 to confirm a change in trend.
Nifty opened positive and tried to inch higher throughout the session but was unable to sustain at higher levels and finally concluded the day off its day’s high at 4906 adding 14 points over its previous close. Amongst the sectoral indices the BSE CG and Realty indices were seen outperforming the broader markets whereas BSE IT index lost the most.
We did see attempts to inch higher, however Nifty was unable to clear a key resistance level of 4960 and ended the day with a gain of 14 points at 4906. Going forward the level of 4960 continues to remain as a important resistance for Nifty.
We advice trading on the long side only if there is a confirmation of a break out above 4960 for an upside till 5100 over the course of next few days.
On the downside the level of 4830 to 4800 is a key support range. In an alternate scenario If Nifty does not clear the level of 4960 and breaches 4800 then we may see the prevalent downside continue till 4750 and lower. In the absence of a confirmatory buy signal we recommend a wait and watch approach till Nifty trades below 4960.