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

Last week’s spectacular rally was followed by a soft opening today on the back of sluggish global cues. After a small recovery in the initial trades, the profit booking augmented to sneak below the 16600 mark around the midsession. However, as we stepped into the latter half, the buying attracted at lower levels which lifted the benchmark index almost around morning’s high. The market was not done with its twists and turns yet as we once again witnessed a bout of decline towards the fag end of the session. Eventually, Nifty concluded the session with slightly over half a percent cut.

Our markets finally snapped its six days winning streak today and it was certainly a no surprise after a recent run towards the 16700 mark. And this is what we had mentioned in our previous commentary that the low-hanging fruit is already gone and hence, it’s advisable to avoid aggressive bets in key indices for a while.  The overall undertone remains bullish undoubtedly but in between, we are likely to either see some consolidation or a bout of profit booking. This being the monthly expiry week, we are likely to see some interesting movement in our markets. Also, globally, key events are lined up, and hence, this week is going to be the action-packed one for global peers. Considering all this, we advise traders to take one step at a time and should ideally keep a close eye on global developments as well. As far as levels are concerned, last Wednesday’s upside gap area of 16490 – 16360 is likely to be seen as a sacrosanct zone; whereas on the flip side, the immediate hurdles are placed at 16700 – 16800.

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