Below is the Views On Technical Quote On Today`s Market Performance by Mr. Nagaraj Shetti, Technical Research Analyst, HDFC Securities
Sideways range movement continued in the market on Friday and Nifty closed the day higher by 33 points. After opening on a positive note on Friday, Nifty continued to move in a narrow high low range for the entire session. Minor intraday weakness has filled the opening upside gap completely.
A small negative candle was formed with minor upper and lower shadow. Technically, this pattern indicate a formation of high wave or spinning top type candle pattern. But having formed this pattern in a range movement, the pattern implication regards to underlying trend of the market could be less.
Though Nifty witnessed a range movement on Friday, the overall market breadth was positive and broad market indices like midcap and small cap segments have closed higher by 0.79% and 0.62% respectively. this is positive indication.
Nifty on the weekly chart formed a small positive candle with upper and lower shadow, which is similar to a high wave type pattern. This candle pattern was formed beside the negative candle of previous week. The upper area of 12025 has been acting as a key overhead resistance in the last couple of weeks and this hurdle could be tested again in the coming week. A sustainable upside breakout of this hurdle could have a sharp positive impact on the market ahead.
Conclusion: The short term trend of Nifty continues to be range bound and the near term uptrend status remains intact. There is possibility of retest of 12000-12050 levels by next week, before showing minor profit booking again from the highs. A decisive move above this hurdle could open next upside levels of 12250 levels and higher in the near term. Immediate support is placed at 11825.
Above views are of the author and not of the website kindly read disclaimer