IGI Logo

Sensex (57626) / Nifty (17124)

Our markets started the session on a positive note and thereafter the price action depicted a classical structure of higher highs and higher lows during the session. The benchmark index dipped a bit in the initial trade which got bought into to continue the rise till the midsession. We again saw some profit booking as we stepped into the latter half. The decline was successfully absorbed by the bulls to conclude the session at the highest point of the day tad above the 17100 mark.

Technically speaking, the hourly chart depicted a ‘Bullish Wolfe’ wave pattern in the initial hour itself. Market respected this configuration aa we witnessed some decent buying internet from the potential reversal zone (PRZ) of the pattern. Now, if move has to extend precisely as per this technical development, the global market plays major role here. If we see some positivity on the global front, we would see Nifty testing 17200-17250 first and then a move towards 17400 cannot be ruled out. On the flipside, 17050-17000 would be seen as a crucial support zone.

Nifty Bank Outlook (39119)

After a flat start and initial dip in the first hour, the bank index climbed higher throughout the session to end with gains of around a percent at 39119.

Despite the weakness in Tuesday's session, we remained firm with the positive view, and this was due to the positive crossover seen in the momentum oscillator RSIS. Now if we meticulously observe the daily chart, the prices seem to be in a consolidation mode where 38500 is acting as strong support whereas on the higher side 39600 is acting as resistance. Even though prices remain within the parameters of the mentioned range we can see early signs of a breakout on the upside on the hourly chart. We sense, if there is no aberration globally, we may see the bank index headed towards 39600 and 40000 in the near term. Whereas on the flip side, we continue to see strong support in the zone of 38600 - 38500.

To Read Complete Report & Disclaimer Click Here

Please refer disclaimer at https://www.angelone.in/ 
SEBI Regn. No.: INZ000161534

Above views are of the author and not of the website kindly read disclaimer