IGI Logo

Below is Quote on Daily Market Wrap Up By Mr. Rajesh Bhosale,Technical Analyst, Angel One Ltd

On the weekly expiry day, the benchmark index had a positive start, but there wasn't significant momentum following the opening, leading to a period of price consolidation within a range. Eventually, Nifty concluded the session with marginal gains of 0.16%, closing a tad above 20100.

After experiencing strong market action over the past week, today was comparatively lackluster for the Nifty. It acted as a breather day for the bulls for the index, as the traders preferred focusing on action outside the index. From a technical standpoint, not much has changed, as the price formed a small-body candle on the daily chart. Nevertheless, the Nifty's ability to maintain levels well above the July swing high of 19991.85 bodes well for bullish sentiment. The indicators are indicating overbought conditions, underscoring the inherent strength in the market. The recommended strategy should remain focused on buying during intraday dips. In this context, the psychological support levels are situated at 20000, with Tuesday's panic low around 19900 serving as a key support level. On the flip side, as the Nifty is in uncharted territory, it's advisable to consider reciprocal retracement, with the next resistance appearing around 20200, followed by 20450. Traders should keep a close eye on these levels and tailor their trading strategies accordingly. It's worth noting that the Nifty has already gained approximately 900 points in the span of around 10 days, and going forward, the pace of the rally may not be as swift. Therefore, traders are advised to adopt a stock-centric approach, as it is likely to offer opportunities for outperformance.

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