Stewart & Mackertich's Technical Report:
Nifty ended with a loss of 0.77 percent at 8724.70. It got sold off from day’s high 8808 towards ending the session at lower end of the current range 8820-8720. Ending the session with a bearish candle suggests weakness in coming sessions. It closed at a very critical juncture, just closer to the very short-term upward trendline support placed around 8700. Further weakness is expected below 8700. Frequent attempts to rise above the 8820 mark got sold off and that may lead to a short-term correction. 8700 is going to be a pivotal intraday support in coming sessions.
On the Nifty
hourly chart; it closed below its 50-hourly EMA placed around 8760. 100 hourly EMA is placed around 8700. Hence, 8700 is going to play a pivotal support in tomorrow’s session. RSI has breached down a short-term upward trend line that we have been talking since last few sessions. Downside supports are placed around 8700, 8670, and 8620. Nifty pull back from 8700 may find tough resistance around 8760. Hence, stay cautious on rise.
Considering Nifty multiple time frames and overall chart pattern that shows, Nifty uptrend is losing momentum for short-term and that may initiate a corrective downward move against the broader uptrend. Closing below 8700 may escalate short-term selling pressure. Below 8700, next supports are placed around 8670 and 8620. We prefer staying cautious on rise around 8760
Nifty crucial supports & resistances:
Supports - 8700, 8670, 8620
Resistances - 8760, 8820
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