Nifty closes up 41.65 points at 5850.05 - Indsec Securities & Finance

The Nifty closed the day positive up 41.65 (0.71%) points at 5850.05 from 5808.40 Friday, on the back of low volumes. Major loser in Nifty were Ranbaxy (3.37%), Hindalco (-1.59%) and Dr Reddy's (-1.35%) whereas major gainers were M&M (+4.25%), BHEL (+3.58%) and Bajaj Auto (+2.50%).

The volume in the cash market for both NSE and BSE put together was down 16.00% to Rs. 99.70 bn from Rs. 118.90 bn. The advance/decline ratio stood at 1.19:1 from 2.08:1 for stocks traded on NSE.

The Nifty on the hourly chart is making a simple retracement after completion of AB=CD pattern. It faced resistance at 38.2% retracement of swing high/low 6133/5683 at 5855. Besides this the premium between the cash and futures prices has turned negative.

The Nifty on the daily chart is forming AB=CD pattern with immediate resistance at 5887 and 5970 going forward. The RSI(14) has formed bottom and is on its way up.

Source : Equity Bulls

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