Similar to last year, markets rallied post the Union Budget announcement: Angel Broking

Daily Market Wrap Up by Mr. Sameet Chavan - Chief Analyst - Technical & Derivatives, Angel Broking.

Technical Outlook

Finally, our Finance Minister presented the Union Budget for FY 2017 - 2018, which was much awaited event for the market participants. Last year our markets bottomed out on the Budget day and this time, we witnessed a massive intraday up move post the announcement to add another 1.81% to the recent upward leg of the rally.

Now, going back to our previous article, we once again did not get carried away by yesterday's correction and in fact, interpreted this as a healthy development. During the day, Nifty managed to find a strong support in the vicinity of mentioned support zone of 8560 - 8500. Due to this massive broad based rally, the Nifty almost tested our expected level of 8737. We continue with our statement that the trend is so strong and one should look to ride the tide rather than looking for resistances or overbought conditions. Traders should look for potential buying candidates as the Nifty is poised for higher levels of 8805 - 8893. On the flipside, 8672 - 8620 would act as a strong support zone.

Source : Equity Bulls

Keywords