Gaurav Ratnaparkhi of Sharekhan said the recent selling on the index was absorbed near the junction of the 40-day EMA and the daily lower Bollinger Band.
“The index has now moved above its crucial hourly moving averages and is about to fill the gap area between 15,837 and 15,882 levels, which had been created during the recent decline. Nifty50 is likely to test the hurdle in the 15,900-16,000 zone. The 15,770-15,750 range will act as immediate support,” he said.
For the day, Nifty closed at 15,824, up 191 points, or 1.23 per cent.
Mazhar Mohammad of Chartviewindia.in said Nifty50 is in the consolidation mode. He believes sustaining above the 15,726 level would take Nifty50 towards the 15,837-882 range.
“But some selling pressure at those levels cannot be ruled out. Even if the bulls manage to push through the said range, a critical hurdle is present around the 15,950 level, hinting that upsides will remain capped for a while. Traders will be better off by remaining neutral on index and advised to shift their focus on stock-specific opportunities,” he said.
Rohit Singre of said a close above 15,800 level has signalled an extension of the ongoing positive momentum towards the immediate range at 15,900-16,000. Support for the index, Singre said, has shifted to the 15,750-15,700 range.
