Quote On Post Market Comment by Mandar Bhojane, Research Analyst, Choice Broking
Below the Quote On Post Market Comment by Mandar Bhojane, Research Analyst, Choice Broking
The Indian equity market witnessed a volatile session on May 27, with both benchmark indices ending notably lower. The Nifty declined by 175 points, while the Sensex fell by 625 points, reflecting broad-based profit booking across key sectors. Interestingly, the Defense sector outperformed, gaining over 1%, whereas Auto, Banking, and IT stocks came under pressure due to intraday selling.
After an early dip, the market recovered sharply during the day, but selling pressure re-emerged at higher levels, leading to a weak closing. This choppy price action indicates a lack of clear direction, suggesting that traders are in a wait-and-watch mode, anticipating a decisive breakout on either side before taking aggressive positions.
Technically, the Nifty has been consolidating for the past 12 sessions, reflecting growing indecisiveness among market participants. However, the index continues to trade above its short-term moving averages, which remains a positive undertone. That said, the RSI is showing signs of fatigue, turning downward and signaling that bullish momentum may be tapering off in the near term.
Looking ahead, support for the Nifty is placed at 24,700, while immediate resistance is seen around the 25,000–25,150 zone. A sustained close above 25,200 could trigger fresh buying interest, potentially pushing the index towards 25,600 and 25,800. Until a decisive move occurs, range-bound action is likely to continue, and traders are advised to remain cautious and watch for a confirmed breakout.
Above views are of the author and not of the website kindly read disclaimer
