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

We had a nervous start for the week in line with not so favourable global cues. In the initial trades, Nifty sneaked below the 18400 mark and even went on to challenge 18350. Fortunately, the mighty bulls came for a rescue as some of the heavyweight pockets cushioned these early tremors. In fact, we witnessed a V-shaped recovery in the initial hour to recoup all losses in a quick span. During the remaining part of the session, markets remained range bound; but successfully managed to safeguard their strong recovery. Eventually, Nifty ended the session precisely at Friday’s close a tad below the 18500 mark.

With reference to our previous commentary, we had mentioned how crucial it is for Nifty to hold the sacrosanct support zone of 18400 – 18300. Today’s smart recovery after testing the midpoint of this range has certainly proved the significance of this key demand zone. Now, today’s low of 18345 should be considered as an important point and till the time, it remains unbroken, we would continue with our positive stance on the market. For the coming session, 18550 and 18650 are to be treated as immediate hurdles. The moment we overcome these barriers, we would see resumption of higher degree uptrend and then a path towards the next milestone of 19000 once again gets unfolded. Let’s see how things pan out going ahead. Sectorally, the banking has certainly played its part in last few sessions, and we expect it to continue in days to come. Apart from this, the broader market is now providing ample of opportunities to place bullish bets. Traders should focus on such potential candidates in order to catch better moves.

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