@rex_cano
Mumbai: The markets after a weak start recouped the early morning losses and then traded on a lackluster note. The BSE benchmark index, the Sensex, opened 90-odd points lower at 38,321, and then slipped to a low of 38,126. The BSE index, thereafter, rebounded into the positive zone and touched a high of 38,414. The Sensex finally ended with a minor loss of 37 points at 38,370.
Among the Sensex 30 stocks, HCL Technologies zoomed nearly 4 per cent to Rs. 717. SBI also surged over 4 per cent while Tech Mahindra added 2.5 per cent. Maruti Suzuki and Mahindra & Mahindra were the other notable gainers. On the flip side, Kotak Mahindra Bank, Sun Pharma, Bajaj Finserv, Larsen & Toubro, Bajaj Finance and TCS declined 1-2 per cent each.
The bias for the remainder of the week remains positive as the BSE index has managed to sustain fairly above the key support level at 38,040. On the upside, the BSE Sensex may test the weekly Fibonacci R2 or R3 level at 38,700 and 38,850, respectively.
Also Read: Market Outlook: Nifty charts indicates some indecisiveness at current levels
As per the daily Fibonacci charts, on Thursday, in case of an up move the BSE Sensex is likely to face resistance around 38,480-38,510-38,550, and in case of a down move, the BSE index may seek support around 38,260-38,220-38,190.
The NSE Nifty snapped its six-day winning streak with a minuscule loss of 0.1 per cent at 11,308. The NSE index continues to trade firmly above its 20-DMA (Daily Moving Average). In fact, the index has been consolidating between the 20-DMA at 11,100-odd level and the 11,400-odd level, which is the higher end of the Bollinger Band on the daily charts.
For now, the bias continues to remain positive, hence expect the Nifty to push towards 11,400-level in coming trading sessions. A break and close above 11,430-odd level can trigger a faster up move thereafter.
Among the key momentum oscillators on the daily charts, the Slow Stochastic and the DI (Directional Index) continue to remain further upside for the markets. The MACD (Moving Average Convergence Divergence) is inconclusive and the 14-day RSI (Relative Strength Index) is in the neutral zone.
Disclaimer: The views expressed in this article are personal and for information purpose only, it does not advocate any buy or sell /recommendation.
