GIFT Nifty up 75 points; here's the trading setup for today's session
«Nifty has recovered 6.3% in the last three weeks indicating value buying at lower levels. We expect this upward momentum to continue, on the back the foreign institutional investors’ return to the Indian market amid attractive valuations and signs of economic recovery,» said Siddhartha Khemka, Head — Research, Wealth Management, Motilal Oswal Financial Services.
Meanwhile, a long bull candle formed on the daily chart with a minor upper shadow, indicating a continuation of strong upside momentum. The Nifty has decisively broken above the down-sloping trendline resistance at 23,000 on the daily chart and 23,250 on the weekly chart, a positive signal for further gains.
Experts believe that having surpassed the 23,200-23,250 hurdle, the index could now move towards the next resistance at 23,800 in the near term, while immediate support is placed at 23,250.
STATE OF THE MARKETS
GIFT Nifty (Earlier SGX Nifty) signals a positive start
GIFT Nifty on the NSE IX traded higher by 74 points, or 0.32 per cent, at 22,500, signaling that Dalal Street was headed for positive start on Monday.
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- Tech View: The Nifty continues to move upward following a falling trendline breakout, supported by upbeat sentiment, said Rupak De, Senior Technical Analyst at LKP Securities, adding that during the last trading session, the index encountered resistance at the 21-week exponential moving average, which is placed at 23,382.
- India VIX: India VIX, which is a measure of the fear in the markets, fell 0.21% to settle at 12.58