The index moved back below into the trend channel after it had broken out and traded above it for a couple of days. This indicates the lack of retail participation at these levels. DIIs have been offloading M-o-M and are likely eyeing lower levels to buy again. In addition, RBIs tightening of rules for NBFCs could lead the entire FinServ sector down. There could be mixed feelings in the market coming week, given that while most indicators are pointing south, good earnings & successful vaccine rollouts would offset any bearish sentiments. The index’s 2 weeks’ avg stands around 32000 currently which will prove to be a critical support to be watched if the index slips further.
On the Upside, 32600 would prove to be a critical resistance level. A breach, and sustenance, above it would lead to a resumption in the bull rally, concluding Friday’s session as a minor profit-booking one.
On the Downside, 32000 should act as a critical support. A decisive breach of the same would lead the index to test 31800 where it should find support at the bottom end of the trend channel as a last resort.
All other interim levels are highlighted in the chart.
DISCLAIMER: The author is a SEBI certified Research Analyst and may or may not have a position in the scrip being analyzed. Nevertheless, all analyses are projected with a completely unbiased mind. The analyses should be used as a second opinion, at best, to one’s own analysis and/or in consultation with his/her financial advisor.
On the Upside, 32600 would prove to be a critical resistance level. A breach, and sustenance, above it would lead to a resumption in the bull rally, concluding Friday’s session as a minor profit-booking one.
On the Downside, 32000 should act as a critical support. A decisive breach of the same would lead the index to test 31800 where it should find support at the bottom end of the trend channel as a last resort.
All other interim levels are highlighted in the chart.
DISCLAIMER: The author is a SEBI certified Research Analyst and may or may not have a position in the scrip being analyzed. Nevertheless, all analyses are projected with a completely unbiased mind. The analyses should be used as a second opinion, at best, to one’s own analysis and/or in consultation with his/her financial advisor.
