Charts indicating temporary weakness
Fresh uptrend rally possible only after 58,500 breakout, above which, chances of hitting 58,800-59,000 would turn bright; on the flip side, below 58,500 it could slip 58,200-58,000
image for illustrative purpose
Mumbai: The benchmark indices witnessed profit booking at higher levels, NSE Nifty ends 46 points higher, while BSE Sensex was up by 118. Among Sectors, Metal index outperformed, rallied over 3 per cent, while profit booking continued in FMCG stocks.
"Technically, post gap-up opening the index consistently faced profit booking at higher levels," says Shrikant Chauhan of Kotak Securities. On daily charts, the index has formed small bearish candle which indicating temporary weakness.
However, the medium-term sentiments are still bullish. We are of the view that, fresh uptrend rally possible only after 58,500 breakout. above which, chances of hitting 58,800-59,000 would turn bright. On the flip side, below 58,500 the index could slip 58,200-58,000.
