Shrikant Chouhan of Kotak Securities said Nifty50 has maintained a breakout continuation formation but profit-booking at higher levels cannot be ruled out due to the extended rally in recent sessions. The 18,100 level would be key to watch out for and above the same the uptrend texture will continue up to 18,275-18,350 levels, he said.
“A fall below 18100 may trigger short-term correction up to 18,050-18,000 levels,” he said.
For the day, Nifty50 closed at 18,212.35, up 156.60 points or 0.87 per cent. This was its highest daily close in the last 53 sessions, said Chandan Taparia of Motilal Oswal Securities, who sees the next resistance at the 18,300-level. Support has shifted higher to 18,081 and 18,000 levels, he said.
Mazhar Mohammad of Chartviewindia.in said Nifty50 confined its move to 91 points with an indecisive formation that resembled a Spinning Top. Usually, such moves with narrow intraday trading ranges make the index vulnerable to sudden falls, he said.
“It remains inevitable for the index to sustain above the bullish gap of the day present in the 18,128-18,081 range. If Nifty50 manages to sustain above the said gap zone and consistently remain above 18,200 on a closing basis for the 2-3 sessions, there are chances of it testing lifetime highs of 18,604,” he said.
