Technical View - Dec 29, 2020 - Mr. Subash Gangadharan, Technical and Derivative Analyst, HDFC Securities

Carrying on from the previous session, markets surged higher on Tuesday to close with healthy gains. It was the fifth consecutive session of gains for the Nifty after the sell off seen on last Monday. The Nifty finally gained 59.4 points or 0.43% to close at 13,932.6.

Broad market indices like the BSE Small Cap index gained less, thereby under performing the Sensex/Nifty. Market breadth was negative on the BSE/NSE.

Sectorally, the top gainers were the BSE Bankex, IT, CD and FMCG indices. The top losers were the BSE Metal, Power and Healthcare indices.

Technically, with the Nifty surging higher after taking out the highs of 13778 on Monday, the short term trend remains up. We expect the index to make new life highs in the coming sessions. Short term supports to watch are now at 13859.

Conclusion: The short term trend remains up. The intermediate uptrend too is still intact and we are likely to see new life highs in the coming sessions. It is important that the supports of 13811-13729 are not broken for the uptrend to sustain.

Source : Equity Bulls

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