"The Index has to close above 10,440 levels for further upmove. If it sustains below or fails to cross this mark, Nifty may witness a correction till 10,330 and 10,270 zone," says Rajesh Agarwal of AUM Capital.
By Rajesh Agarwal
Benchmark indices rose for the fourth straight session on Tuesday, with Sensex gaining over 100 points and Nifty rising above the 10400 level tracking gains in Asian peers as conciliatory-sounding comments from Chinese President Xi Jinping helped soothe investor concerns about an escalating US-China trade spat.
The market breadth was in favour of declines with one stock advancing against each declining one. Axis Bank gained 6 percent and was among the top percentage gainer on the NSE index after the country’s third-biggest private-sector bank by assets said on Monday its long-time chief executive, Shikha Sharma, will step down at the end of 2018.Investors have now turned their focus to domestic cues such as March retail inflation data due later this week and corporate results.
Nifty has formed 'Doji' candlestick pattern around key hurdle zone i.e. 50 & 100 SMA which coincides at 10440 levels and 38.2 percent Retracement levels (Drawn from high of 11171.55 to low of 9951.90) on daily time frame. This pattern is signifying indecisiveness between bulls & bears.
The Index has to close above 10,440 levels for further upmove. If it sustains below or fails to cross this mark, Nifty may witness a correction till 10,330 and 10,270 zone. Furthermore, RSI (14) has given negative crossover.
Nifty Bank has formed 'Spinning Top' pattern around 50 SMA & 100 SMA on daily time frame. It’s a small candlestick pattern. In this pattern, the stock prices open and close are near each other. This pattern forms when there’s indecision among the buyers and sellers. Near term hurdle seen around 25420 levels i.e. 100 SMA.
Moreover, it is currently trading around 38.2 percent Retracement level on daily time frame. Momentum Oscillators like RSI is trading around 60 levels.
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