Technical & Derivatives Report 17th September 2019: Angel Broking

Mr. Sameet Chavan (Chief Analyst-Technical and Derivatives, Angel Broking):

"Yesterday, once again our markets started on a positive note taking cues from the SGX Nifty. The index, however, lacked follow up move and witnessed slide to erase all the morning gains. It was a tiring session with a lack of momentum for the most part of the session however in the last hour Index bounced sharply from the lower levels to retest the opening levels and eventually ended with gains of 0.31% 11464.

On the daily chart, Index after forming a higher bottom at 11090 has gradually retraced 61.8% of the recent fall (11695-11090) at 11460. In the last couple of sessions, this key retracement level has acted as an intraday hurdle and on the daily chart, we are now witnessing 'Dragon Fly Doji' pattern which indicates an uncertainty around the key level. On the weekly options expiry day, we expect Index to remain in a defined range of 11400-11500 and only on a break from the same can trigger a momentum move. The bias remains positive until we see signs of weakness and traders are advised to continue to focus on individual stocks that are still providing better and more reliable trades."

Source : Equity Bulls

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