Technical Observation - March 5, 2020 - Nagaraj Shetti, Technical Analyst, HDFC securities

Nifty displayed a weak upside bounce today and closed the day higher by 18 points.A small body of negative candle was formed today with long upper shadow. Technically, this pattern indicates an emergence of selling pressure at the resistance of around 11400 levels.

Nifty not showing any sustainable upside bounce from the support is not a good sign. This current sell on rise pattern could eventually results in a sharp downside breakout of 11100 support over the period of time.

The unfilled opening downside gap of 28th Feb also indicate that the Nifty is unlikely to show any significant upmove from here. The immediate support is placed at 11100 and the key overhead resistance is around 11380-400 levels.

Source : Equity Bulls

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