Tech View: Nifty breaks key hurdle after 2 weeks. Here’s how to trade on Wednesday
Nifty ended Tuesday’s session 183 points higher to form a long bull candle on the daily chart and surpassed 23,600 hurdle after two weeks of consolidation.
The short-term trend of Nifty remains positive. The market is now showing early signs of upside breakout in the near term. The next upside levels to be watched are around 24,000. Immediate support is placed at 23,550, said Nagaraj Shetti of HDFC Securities.
What should traders do? Here’s what analysts said:
Rupak De, LKP Securities
Nifty moved above 23,700 to make a new all-time high of 23,754, showing resilience amid global sluggishness. Put writers were very active at 23,600 and 23,700, while call writers unwound their positions, causing the PCR to rise. In the short term, the trend might remain strong as long as it stays above 23,500. On the higher end, the index might continue moving towards 24,000 in the near term.
Tejas Shah, JM Financial & BlinkX
Nifty tested the lower band of our target zone of 23,750-800 in today’s trading session. We believe that the rally in Nifty is likely to continue and it can test the psychological resistance levels of 24,000 on the higher side. The short-term moving averages are just below the price action and should continue to support the indices on any decline. Support for the Nifty is now seen at 23,650 and 23,500 levels. On the higher side, the immediate resistance zone is at 23,750-800 levels & the psychological resistance is at 24,000 mark.
Shrikant Chouhan, Head Equity Research, Kotak Securities
A bullish candle on
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