Market reluctant to fall, trade with a positive bias and focus on individual stocks: Angel Broking

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

Technical Outlook

Today's move has clearly separated our markets from rest of the world as we witnessed a flat opening despite nervous Asian bourses and then a strong intraday rally to regain the 9200 mark on a closing basis. This broad based rally was mainly led by the FMCG, Capital Goods, Realty and Financial stocks. At the end, the Nifty ended the session with 0.61% over the previous close.

With reference to our previous article, we had stated about the likelihood bounce back after the Nifty approaching the strong support zone of 9160 - 9120. The Nifty rebounded after posting a low of 9172.85 (tad above the higher end of the mentioned support zone) as we witnessed an emergence of strong buying interest precisely at the hourly '89 EMA' level of 9165. Now going ahead, today's low of 9172.85 would be seen as a crucial and strong support; whereas, we expect a continuation of ongoing optimism first towards 9274 and then beyond the 9300 mark. Traders are repeatedly advised not to get carried away by intermediate corrective moves and should rather utilize such declines to create fresh longs in the market. In the forthcoming session, one should focus on stock specific moves which are likely to fetch higher returns.

Source : Equity Bulls

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