Market Commentary

Technical Wrap - June 1, 2023 - HDFC Securities



Posted On : 2023-06-01 18:54:21( TIMEZONE : IST )

Technical Wrap - June 1, 2023 - HDFC Securities

Subash Gangandharan, Senior Technical and Derivative Analyst, HDFC Securities

Markets ended lower on Thursday after a shaky opening. The Nifty finally lost 46.65 points or 0.25% to close at 18,487.75. Broad market indices like the BSE Mid Cap and Small Cap indices ended higher, thereby out performing the Sensex/Nifty. Market breadth was positive on the BSE/NSE.

Zooming into 15 min chart, we observe that Nifty witnessed s elling pressure at the opening highs which gradually pulled the index lower to close near the lows of the day. The 50 period MA on the 15 min chart was acting as a strong resistance. Nifty is now near the 18458 supports which are the previous swing highs.

On Daily chart, we observe that while Nifty has corrected in last two sessions, the pattern of higher tops and higher bottoms seen since the March 2023 lows has not been disturbed. This indicates that the intermediate uptrend remains intact. We expect the Nifty to find support around the previous swing high of 18459 before again resuming the uptrend. Of course, if this support fails to hold, then a further correction is likely.

Conclusion: The intermediate trend of Nifty remains UP. We expect the Nifty to find support around the previous swing high of 18459 before again resuming the uptrend. Of course, if this support fails to hold, then a further correction is likely.

Source : Equity Bulls

Keywords

TechnicalWrap Sensex Nifty HDFCSecurities