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Below is Quote on Market Wrap Up 24 July 2023 By Mr. Rajesh Bhosale, Technical Analyst at Angel One Ltd

                 Nifty slips for the second consecutive session, ends with a cut of 0.34%

The week began with the Indian equity markets opening flat due to a lack of significant triggers in the morning. As the day progressed, Nifty experienced choppy moves within a 100-point range. Eventually, during the second half the inclination was on the lower side, as Nifty ended with a loss of 0.37%, just above 19650.

This is the second consecutive session of decline for Nifty, the first instance since the sharp upward movement that started from the swing lows of around 18600. While the bulls have lost momentum, the higher time frame still shows a strong bullish trend, and these corrections should be viewed as healthy for the overall bullish trend. However, in the short term, considering the overbought conditions, we may witness further correction and increased volatility due to key global events lined up. It's important to avoid undue risk in such scenario and consider booking profits in case of any immediate bounce. The next crucial support levels for Nifty are around 19550 - 19500, representing the 61.8% retracement levels of the recent rally, followed by strong support at the 20EMA around 19450 levels. Re-entering long positions in the range of 19450 - 19550 would be ideal, and a significant sell-off would only be triggered if this range is broken. On the upside, immediate resistance is seen at 19800 - 19880, with 20000 posing a significant challenge for the bulls to overcome in the current monthly expiry.

The past two days have seen profit booking, particularly in heavyweight stocks that were driving the market higher, such as Reliance and IT space, and today, ITC. The broader market remains bullish, but caution is advised as profit booking in these stocks can be severe, especially for late entrants.

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