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Below is on Market Wrap Up By Mr. Sameet Chavan, Chief Analyst-Technical and Derivatives, Angel One Ltd

Bulls in cruise control, Nifty surmounts 18200

Last night, US markets reacted adversely as Federal Reserve delivers yet another rate hike by 25bps. The SGX Nifty looked nervous early this morning; but surpassingly, our markets started the session on a flat note and after some initial hesitancy, resumed its upward trajectory. Gradually, we kept on climbing as the day progressed and with tail end gush, the Nifty finally managed to surpass the sturdy wall of 18200 with an ease.

Today, our markets completely shrugged off the global developments and moved on our own. This portrays the inherent strength backed by lot of domestic tailwinds. Now, since Nifty has managed to confirm a decisive breakout above 18200, we are well poised to continue this march towards next junction of 18350 – 18500. If there is no major aberration globally, we may see it happening before the first half of the forthcoming week. On the flipside, 18100 – 18000 has become a sacrosanct support zone now. Although, we accept the fact that it appeared as if we may retest the 18000 marks today, market has managed to deceive us pleasantly. The undertone remains strongly bullish and the way some of the heavyweight counters from BFSI space performed in today’s rally, bodes well for the bulls. Other heavyweights like RELIANCE and IT counters too joined hands in the broad based up move. Traders should continue with a buy on decline strategy and keep focusing on stock centric moves.

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