Technical Observation - Mr. Nagaraj Shetti - Technical Analyst, HDFC securities

After displaying a panic selling on Friday, The Nifty witnessed a high volatility in today's session within a wild high low range movement of around 300 points. The Nifty finally closed the day lower by around 69 points.

A long bear candle was formed today, that has engulfed the negative candle of last session. The Nifty made a new swing low of 11036 levels in today's session. Today's formation of long bear candle around the crucial lower support of 11K mark could indicate that a bottom formation in the Nifty could be due.

The long term charts like weekly/monthly timeframe indicates that 11,000-10900 is going to be a strong support zone for the market and there is a possibility of a bottom formation around these area in the next few sessions.

Source : Equity Bulls

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