On the daily chart Nifty broke into the previous wedge after giving a failed breakout
There was a big OI build up for weekly call options at 10700 strike, indicating that writers are confident that Nifty won't cross 10,700 levels in the next 2 days
MACD entered negative levels, giving out a strong sell signal
NIFTY - Driving Factors:
The hangover of poor TCS numbers is still being felt in the IT space
Banks and NBFCs reeling under the pressure of potential rise in NPAs, Bank Nifty was down by over 3% today
Biocon was the shining star in today's trade, rising almost 5.2% because of their new drug announcement to treat severe COVID cases
NIFTY - Outlook for Tomorrow, 15th July:
A failed breakout of a wedge usually leads to test of the lower trend-line and might even go all the way down to the start of the trend if the bearish pressure continues
10,544 (lower trend-line) and 10,390 (23.6% retracement level) will be crucial support levels
Infosys is set to announce its Q1 FY21 results tomorrow. If TCS's earnings are anything to go by, Infosys' results might further add to the bearish pressure.