Nifty at 4-months high, base shifts at 10300: Angel Broking
Mr. Sameet Chavan (Chief Analyst-Technical and Derivatives, Angel Broking):
"Today, our markets kickstarted the day on a positive note owing to favourable cues from the global bourses. The momentum accelerated as the day progressed as we kept surpassing minor intraday hurdles one after another. Yes in between markets had some corrective moves, but overall the index managed to maintain its positive posture. Eventually, the Nifty ended the session at 4-months high by adding more than a percent to the bulls' kitty.
In the last few weeks, despite intermediate hiccups, we maintained our optimistic stance and advocated using all possible declines. Now, we can see the base shifting higher from 10000-10100 to 10300 now. Before this, 10450 - 10360 are likely to be considered as strong supports. On the upside, the momentum can get extended towards 10650 - 10700 levels. However, the short term traders are now advised to keep booking profits as we can see clusters of resistances at every 100-150 points up move.
Meanwhile it would be a prudent strategy to stick to a stock centric approach and follow strict stop losses. Today, it was surprising to see BankNifty underperforming in the second half as we witnessed a good bout of profit booking in few index heavyweights. However, we still believe that the overall structure still remains bullish."