“BUY
NIFTY ABOVE 7860 TG 7900/7930 SL 7820”
Market
today came back to life from two-month lows. The Indian equity markets are still soaring high, after a gap-up opening,
mainly on the back of short-covering and strength witnessed in global peers.
The broad based rally across the banking and auto shares lifted the sentiment.
The Sensex ended 359 points higher at 25841, its biggest single-day percentage
gain since October 5. The Nifty settled 110 points higher at 7842, also its
biggest gain since October 5.
The 7870-7890
proved to be the critical resistance and the bulls failed to absorb the supply
in this region which sent it reeling down to test of previous supports. This
remains an important hurdle and must be taken out for any show of strength by
the bulls. The immediate strong resistance now is around 7900-7920 and must be
crossed decisively for the initial signal of recovery. On the lower side, 7800
is a strong support and if breached May lead to 7790, 7775 levels. A breach of
the 7750 critical support is likely to bring in panic supplies.
RESISTANCE; 7900, 7980.8050
SUPPORT; 7750, 7700,
7640
No comments:
Post a Comment