The domestic equity market ended on a buoyant note on Friday while posting modest gains. Though the indices witnessed a positive start, they remained in a falling channel for major part of the session while steadily paring opening gains. However, the last hour of trade saw sharp short covering, which took the indices towards their high points of the day. Those levels were sustained and finally, Nifty ended the day 71 points, or 0.66 per cent, higher.
The market would open on Tuesday following an extended weekend. A stable opening can be expected with some follow-up move but Nifty is still not out of the woods as it has not breached the important moving averages comprehensively and still trades below important pattern resistances.
On Tuesday, the index is likely to see 10,890 and 10,970 levels act as immediate resistance points. Supports should come in at 10,820 and 10,760 levels.
Overall, even if the market witnesses some follow-up bounce, it is expected to face resistance at the overhead pattern resistance that has emerged in the form of a lower top. The falling trend line that joins the 11,120 level with the subsequent lower top at 10,940 mark is expected to pose short-term resistance to Nifty.
Speaking broadly, the index remains in trend-less trajectory. We recommend remaining light on exposures and protecting profits every time the market offers higher level ..
The market would open on Tuesday following an extended weekend. A stable opening can be expected with some follow-up move but Nifty is still not out of the woods as it has not breached the important moving averages comprehensively and still trades below important pattern resistances.
On Tuesday, the index is likely to see 10,890 and 10,970 levels act as immediate resistance points. Supports should come in at 10,820 and 10,760 levels.
Overall, even if the market witnesses some follow-up bounce, it is expected to face resistance at the overhead pattern resistance that has emerged in the form of a lower top. The falling trend line that joins the 11,120 level with the subsequent lower top at 10,940 mark is expected to pose short-term resistance to Nifty.
Speaking broadly, the index remains in trend-less trajectory. We recommend remaining light on exposures and protecting profits every time the market offers higher level ..
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