Analysts see the 15,900 level to continue to pose as the immediate resistance. Immediate support is placed at 15,750 level, they said.
For the day, the index closed 15,772.75, up 26.25 points or 0.17 per cent.
During the session, the index filled up the opening gap on the downside, said Gaurav Ratnaparkhi of Sharekhan.
“The key hourly moving averages are placed in the 15,750-15,700 range and would offer immediate support to the index. The crucial support is at the recent low of 15,450. Nifty50 can consolidate further, before resuming the larger uptrend. We advise ‘buy on dips’ as our preferred strategy,” Ratnaparkhi said.
Mazhar Mohammad of Chartviewindia.in said Tuesday’s chart formation resembled a ‘Shooting Star’ formation with a relatively long upper shadow, hinting at lack of conviction on the part of the bulls at higher levels.
“Unless Nifty50 sustains above 15,765, it may attract selling pressure on an intraday basis. In such a case, it may first fall towards its 20-day simple moving average, whose value is placed around 15,650 level. Contrary to this, strength will resume if the bulls manage to push the index beyond 15,900 on a closing basis,” he said.
A bearish candle near lifetime high suggests the need for a follow-up buying to commence the next leg of the rally, said Chandan Taparia of Motilal Oswal Securities. “The index needs to hold above 15,750 to witness an up move towards 15,900 and 16,000 level. The downside support can be seen at 15,600 and 15,550,” Taparia said.
