Consolidation continues in the market, however, the support shifted higher to 8754 - 8715: Angel Broking

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

Once again, for the fourth straight session, our markets opened with an upside gap and failed to sustain at higher levels. Similar to last few occasions, the Nifty corrected sharply post the initial hour, however, one thing was notable today that the Nifty finally managed to register a close tad above the 8800 mark. At the end, the Nifty ended the session with very negligible gains.

The consolidation continues in the market and honestly speaking, this is the most frustrating part for momentum traders as the market is closely lacking intraday direction and the range has shrunk drastically in last 4 - 5 trading sessions. We can now observe a series of narrow range bodies on daily chart. Thus, going forward, we expect such boredom to continue in the market during which the range remains at 8820 - 8715. Directionally, the bias remains positive and considering the upward sloping '5 day EMA', it's a matter of time that we are heading towards our all time highs. In case of Nifty sustaining above 8820 on a closing basis, we could see extension of this rally towards the next milestone of 8900. On the downside, the support has now been shifted higher towards 8754 - 8715. It's advisable to follow stock centric approach in order to fetch decent returns.

Source : Equity Bulls

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