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Benchmark indices continued their positive momentum for the fourth consecutive day, with Nifty trading 283 points higher while Sensex was up 899 points. Sectorally, all major sectoral indices were trading in the positive zone, but defence, oil and gas indices outperformed, with both indices gaining over 1.5 per cent.

Technically, the market successfully crossed the 50-day SMA (simple moving average) level and the 23,000/75700 resistance zone, which is largely positive. Additionally, it formed a bullish candle on the daily chart, supporting further upside from current levels. We believe the overall market sentiment is bullish, but buying on dips and selling on ups would be the ideal strategy for day traders. In the near term, 23,100/76000 and 23,000/75700 or (50-day SMA) will be the key support zones, while 23,300/76500 and 23,400/76800 may act as key resistance zones for day traders.

The strategy should be to buy between the levels of 23000-23100 levels and keep a stop loss at 22900 on a closing basis. On the other hand, take profit on long positions between 23300/23400 level or reduce weak long position between these levels.

The Bank-Nifty's earlier resistance 49800-49700 would act as a major support zone. The strategy should be to buy between 49700/49800 and keep a stop loss 49300 for the same. Resistance would be 50200 and at 50500

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