Swastika Investmart Limited

MARKET SUMMARY:
Nifty bounced back smartly from its 50-day SMA of 7575 on the back of development of positive sentiments among global market & buying in heavy weights IT an Oil & Gas names. The day was started gap up then nifty consolidates for first half of the session yet in late trade buying was emerged into Oil & Gas, Auto & Banking sector that led nifty to move high of 7695 mark. At the end nifty closed at 7683 mark with gain of 1.07%. Advance-decline ratio was in favor of bulls where 1107 stocks were in advancing side to 438 stocks in declining side at NSE.
Momentum is in favor of bulls where above 7740 mark they are likley to party for another fresh high
Daily Nifty Levels
Resistance: 7715/7745/7800
Pivot: 7667
Support: 7645/7620/7580

CHART FORMATIONS:

• Nifty found support near up sloping trend line resistance placed at 7575.
• On hourly chart Nifty has immediate resistance at downsloping trednline resistance placed around 7740 mark.
• At any sharp rally 7900 will be upsloping trendline resistance for nifty.
• Nifty bounceback from 50-day SMA placed at 7580 mark while 9-day EMA of 7705 is immediate resistance.

TECHNICAL INDICATORS:

• Momentum indicator RSI is forming double bottom formation around 45 mark while stochastic is still trading in oversold territory.
• CCI & MACD are still negatively poised.

STRATEGY FOR TRADERS: The momentum is in favor of bulls yet 7740 is immediate & significant resistance to take out; decisive move above 7740 mark may lead new high in short term. Intraday traders are advised to remain in long side till nifty trades above 7650 mark.

Post Original Link: http://research4u.co.in/intraday_stock_commodity_tips/nifty-outlook-support-764576207580/