Strong buying at lower levels, 9100 seems to be a strong support: Angel Broking

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

Technical Outlook

Our market opened on a flat note for the second day in a row on the back of subdued movement seen across the globe. This was followed by extended bout of profit booking to test sub-9100 levels. However, a smart recovery towards the fag end trimmed major portion of losses.

Yesterday, we saw a bit of tug of war between two counterparties (the bulls and the bears). At the end, the bulls showed their dominance by taking the charge after Nifty slipping below the 9100 mark. As a result, the Nifty has not only managed to hold this psychological level but also, to close above the important near term support of (5-day EMA), which augurs well for the Nifty. Directionally, we continue to remain upbeat on the market. We reiterate that the Nifty is likely to head towards 9400 - 9600 (price extension of previous up move from recent low of 7893.80) over the next few weeks. Having said that, in between some consolidation or a profit booking (like we saw in last three sessions) by momentum traders cannot be ruled out. On the lower side, 9100 - 9050 levels would provide a strong support in the forthcoming session. Traders are advised to keep using such dips to create fresh longs in the market.

Source : Equity Bulls

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