Mazhar Mohammad of Chartviewindia.in said a follow through selling below the 15,800 level may attract selling pressure.
“A close below 15,730 level is required to confirm weakness. The bulls, meanwhile, can find some support in the bullish gap area present in the 15,762-738 range, registered on July 5. Considering the volatility and a negative advance-decline ratio, traders are advised to remain neutral and avoid buying the dips in a haste,” he said.
The daily chart, Gaurav Ratnaparkhi of Sharekhan said, shows Nifty50 can take the form of a triangular pattern, wherein it can take a dip towards the 15,700 level, before heading higher.
For the day, the index closed at 15,818, down 16.10 points or 0.1 per cent.
“Nevertheless, the overall outlook continues to be positive with the target placed at 16,400 level over the next few weeks. On the downside, the swing low of 15,635 will act as a crucial support, which will maintain the upward trajectory,” he said.
Independent analyst Manish Shah said a bearish Gravestone Doji at the top and a failure to move above 15,900-15,950 zone can mean a slow grind towards 15,750-15,725 range.
“Nifty50 is seeing the lowest bout of low volatility in months and this phase of low volatility cannot last forever. The overall trend is up and eventually Nifty50 should break out on the upside. Wait for a confirmed breakout above 15,900-15,950 zone to get on the long side a bit more aggressively,” he said.
