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Below the Quote on Weekly Market Wrap up by Amol Athawale, VP-Technical Research, Kotak Securities

In the last week, the benchmark indices witnessed lackluster activity. The Nifty ends  0.41 percent lower, while the Sensex was down by 270 points. Among sectors, the PSU Bank index gained the most, rallying over 4 percent, whereas the FMCG index lost the most, shed 2.29 percent. Technically, the week opened on a positive note, but once again, the market witnessed profit booking at higher levels. On weekly charts, it has formed a small  bearish candle, and on intraday charts, it is holding a weak formation, which is largely negative.

 We believe that the 20-day SMA (Simple Moving Average) and the level of 24,650/80900 will act as key support zones for short-term traders, while 25,000/82200 will serve as a key resistance area for the bulls. As long as the market remains between the 24,650/80900 and 25,000/82200 ranges, a sideways, range-bound texture is likely to continue. On the upside, a successful breakout above 25,000/82200 could push the market towards 25,250/82900. Further upside may also continue, potentially lifting the index up to 25,500/83700. On the other hand, a breach of 24,650/80900 could change the sentiment. Below this level, the market is likely to retest the levels of 24,450/80300–24,300/79800.

 For Bank Nifty, the higher bottom support is placed at 55,000. Above this, the uptrend wave is likely to continue towards 56,500–57,000. However, below 55,000, the uptrend would become vulnerable. In that case, we could see a correction down to 54,500–54,200.

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