Some positivity across the globe, Nifty surpasses 9200: Angel Broking

Daily Market Wrap Up by Mr. Sameet Chavan (Chief Analyst-Technical and Derivatives, Angel Broking):

"Previous week's spectacular rally was followed by a sluggish start for the new trading week on Monday. The index consolidated with mildly negative bias. The similar action was seen on the subsequent session as well. On Thursday, the index opened lower and then had a decent recovery to close tad below the 9000 mark. However the real action of the week was mainly seen on Friday as we had a massive gap up opening followed by indecisive swings throughout the first half. During the latter half, strong buying emerged across the board to conclude the week well above 9200 by adding couple of percent gains to the bulls' kitty.

Our market was clearly struggling at higher levels for the major part of the week but we also cannot deny the fact that the market was reluctant to fall as well. Every time Nifty approached 8800-8850, the buying tends to emerge and finally we saw surpassing of 9200 on a closing basis. Technically, this development was crucial for our markets as we can now see the immediate base getting shifted higher from 8000 to 8650-8800. On the flip side, this opens up the floodgates to extend this relief rally towards 9500-9800 in coming days. Importantly, the banking index which has been the weakest link of late, has finally made a strong come back. This certainly provides credence to the move.

Apart from banking, Auto index has shown some strength along with the midcap space which has been buzzing throughout the week. At present, traders are advised to keep following stock specific approach and since we are still not completely out of the woods when it comes to Coronavirus pandemic, one should keep booking profits on a regular basis."

Source : Equity Bulls

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