Technical View - Mr. Subash Gangadharan, Senior Technical & Derivative Analyst, HDFC securities

Markets ended with modest gains on Monday after correcting in the previous two sessions. The Nifty finally gained 18.1 points or 0.12% to close at 14,956.2. Broad market indices like the BSE Mid Cap and Small Cap indices gained more, thereby out performing the Sensex/Nifty. Market breadth was positive on the BSE/NSE.

Sectorally, the top gainers were the BSE Capital Goods, Oil and Gas, Metal and IT indices. The top losers were the BSE Realty, Telecom, FMCG and Auto indices.

Technically, the Nifty seems to be trading in a range. Further directional cues are likely to emerge on a move beyond the 14862-15111 range. A close below 14862 is likely to lead to a correction towards the 50 day SMA which is currently at 14610. On the upside, crucial resistances to watch for signs of strength are at 15203.

Conclusion: The Nifty is in consolidation mode. Further directional cues are likely to emerge on a move beyond the 14862-15111 range. A close below 14862 is likely to lead to a correction towards the 50 day SMA which is currently at 14610.

Source : Equity Bulls

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