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Below is the Technical Quote On Today`s Market Performance by Mr. Nagaraj Shetti, Technical Research Analyst, HDFC Securities

Nifty witnessed steep decline for the second consecutive sessions on Thursday and closed the day lower by 163 points. After opening on a sharp positive note, Nifty failed to sustain the highs and later shifted into a range move till mid part of the session. A sharp intraday weakness got triggered in the afternoon and led to a sharp weakness from the highs. Nifty closed the day on a minor upside recovery note.

A long negative candle was formed with minor lower shadow. Nifty has broken slightly below the trend line support at 14680 and closed lower. The market is now entering a crucial supports of around 14500 (previous swing low of 26th Feb and weekly 10 period EMA at 14560).

Previously, in the last few occasions the weekly 10 period EMI had acted as an important base for the market and Nifty witnessed sharp upside bounce from the support or mildly violating that support area. Having violated this area on Thursday at 14560, the odds of Nifty bouncing back from here is likely. So, any slowing down of downside momentum in the short term could open chances of upside bounce.

Conclusion: The short term trend of Nifty continues to be weak. Having placed at the lower support of 14500 levels, one needs to be cautious for any upside bounce. A decisive move below 14500 levels is likely to open broad based weakness in the market and on such scenario, the Nifty could test 14000 levels in the next week.

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