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

Global markets looked a bit cheerful today morning and as a result, we kicked off the session with a decent upside gap tad below the 16500 mark. In the initial trades, we started trimming gains and as we approached the RBI policy announcement, the Nifty went on to slide slightly below 16300. However post the announcement, markets just took off and within no time, we were back inside the positive territory. At one point, we even surpassed 16500 by a small margin. Markets were all set for an extended move but once again post the midsession, traders became nervous and as a result, we were back to morning lows. Eventually, the volatile session ended around 16350 by shedding nearly four-tenths of a percent to the previous close.

Today, the RBI governor announced yet another repo rate hike by 50 bps and since this outcome was already discounted in markets, we witnessed a strong up move immediately after the announcement.  It appeared as if markets are going to end their recent slumber phase; but unfortunately, this up move got fizzled out in the latter half. Technically, more than opening or intraday price movement, the closing action is very important and the way we closed around the lower range today, does not augur well for the bulls. However, since 16300 is still defended on a closing basis, we continue to remain hopeful. For the coming session, 16300 – 16260 should be seen as key supports and only a breach of the same would resume the recent downtrend. On the flipside, 16500 remains a sturdy wall and till the time, we do not surpass it convincingly, bulls would not have any conviction in their moves.

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