Mumbai: The markets traded in a relatively narrow band, amid choppy movement, as the benchmark indices consolidated their recent gains. The BSE benchmark index, the Sensex, swung in a 400-odd point range as against the previous day’s range of over 900 points. The BSE index touched a high at 34,350 and a low of 33,949 during the course of the day, and finally ended with a decent gain of 290 points at 34,247.
Among the Sensex 30 stocks, IndusInd Bank zoomed 8 per cent. Kotak Mahindra Bank, Reliance Industries, HDFC, Axis Bank and SBI were the other major gainers, up around 2 per cent each. On the other hand, Hero MotoCorp tumbled nearly 4 per cent post Q4 results. Bajaj Auto, Tata Steel, ONGC and Titan were also down around 2 per cent each.
The BSE Sensex has given a confusing signal on the weekly Fibonacci chart.
Also Read: Market Outlook: Sensex, Nifty may have entered a corrective phase
The index at first gave a buy signal, followed by a sell signal. It is quite possible that the markets may remain choppy for the remainder of the weeks, as bears attempt to make a comeback. As per the weekly Fibonacci chart, the BSE index may seek support around 33,670-33,290 range in case of weakness, while on the upside, the Sensex may make a dash towards 35,000-mark.
As per the daily Fibonacci charts, on Thursday, in case of an up move the BSE Sensex is likely to face resistance around 34,400-34,450-34,500, and in case of a down move, the BSE index may seek support around 34,100-34,050-34,000.
The NSE Nifty seems to be in consolidation mode following the sharp 15 per cent surge. The index is facing some hurdle around the 100-DMA (Daily Moving Average) which is currently placed around 10,250-odd level. Break and close above this level for three successive trading sessions will open the doors for a rally towards 10,950-odd level. On the flip side, in case, there is a price correction, the index may dip towards 9,950-9,825. The short-term bias is likely to remain positive as long as the Nifty sustains above 9,600-level.
Among the key momentum oscillators, the Slow Stochastic has turned slightly negative. The 14-day RSI (Relative Strength Index) and the MACD (Moving Average Convergence Divergence) are showing signs of consolidation, while the DI (Directional Index) continues to remain in favour of the bulls.
Disclaimer: The article is for information purpose only and does not advocate any buy or sell /recommendation.
