Nifty surpasses the hurdle of 11640; buying seen in last hour of the trade: Angel Broking

Market Wrap-up by Mr. Ruchit Jain (Equity Technical Analyst, Angel Broking):

"The indices opened on a flat note today and consolidated below the resistance of 11640 for most part of the session. However, Nifty breached this resistance during later part of the session and ended the day around the high point with gains of over six-tenths of a percent.

In last few sessions, the index has consolidated in a range with market breadth not showing any encouraging signs. The previous support of 11640 was acting as a hurdle in last couple of sessions. However, today we witnessed the index surpassing this hurdle and the broader markets too witnessed buying momentum in the last hour of the day. Most of the indices ended positive today which is an encouraging sign. Hence, the index could continue this momentum towards the '20 DEMA' which is placed around 11700 while a follow up move above the same should the lead to a continuation of this upmove towards the hourly '200 SMA' and the recent gap area at 11770-11800. The lower time frame charts indicate that the immediate support has shifted higher to 11530.

As mentioned above, most of the sectoral indices traded with a positive bias today wherein the broader markets witnessed good momentum in the last hour of the day. Many stocks from the Pharma space too were buzzing and have seen breakout from consolidation phase. Hence, traders should look for stock specific opportunities wherein certain pockets could provide decent returns in near term."

Source : Equity Bulls

Keywords