Analysts said a consolidation on the index is under way as seen in the tight trading range for the past five sessions. A fall below 17,250 level can trigger weakness, they warned, adding that a breach of the 17,400-450 range would give the bulls an upper hand.
For the day, the index closed at 17,355, down 13.95 points or 0.08 per cent.
Mazhar Mohammad of Chartviewindia.in said the index was trying to form a consolidation range in the 17,380-250 region.
“It looks critical for the index to sustain above 17,250 level. If sustained, a sideways move with a positive bias is likely for Nifty50. That said, strength will emerge only on a close above the 17,400 level. The indecisive formations accompanied by the last five days’ weakness are slowly deteriorating the technical setup on the oscillator and indicator fronts,” he said.
Independent analyst Manish Shah said Nifty50 may require a breakout above the 17,450 level for a rally towards 17,720-17,820 zone, which is likely by the end of monthly expiry.
“Over the next 2-3 days, a movement towards the 17,556-17,580 zone is possible.Support for Nifty stood at 17,250-17,270, a zone Nifty50 has held on to for several days,” he said.
Shrikant Chouhan of Kotak Securities said Nifty50 is consistently taking support at the 17,250 level.
“As long as the index is trading above the 17,250 level, the bullish mood is likely to continue up to 17,450-17,500 levels. However, trading below the same could possibly trigger a correction up to 17,200-17,150 levels,” Chouhan said.
