Banking space to dictate the direction: Angel Broking
Daily Market Wrap Up by Mr. Sameet Chavan (Chief Analyst-Technical and Derivatives, Angel Broking):
"Today, our markets kick-started the day on a flat note in line with muted global cues. In the initial trade, we witnessed a small decline towards 11100, which got bought into. Since it was considered a strong support for today's weekly expiry, the buying accelerated in the following hours. In fact, during the remaining part of the day, we witnessed higher highs higher lows to confirm a close beyond the 11200 mark.
Clearly, there has been no stopping for the recent Bull run and one after another, markets are convincingly surpassing all major hurdles. As per the technical observations, Nifty at present is placed at the 78.6% retracement of the entire fall started after the outbreak of coronavirus pandemic and hence, it is considered to be a respectable resistance. Here, all eyes should be on banking space now as it is likely to play a vital role for the overall direction for next few days. The way Bank Nifty is shaped up, any further rally in it would unfold a strong up move in the broader markets as well. Hence more than Nifty, we would be keeping a close track on the banking index now. As far as levels for Nifty is concerned, a sustainable move beyond 11225 would result in an extension towards 11300-11350 and on the flipside, 11150 followed by 11100 remains to be an immediate support zone.
Traders are advised to keep following stock centric moves and ideally should keep booking timely profits wherever it's necessary. The stop loss level in Nifty should move higher towards 11050, which can be seen as a key support."