60,000 level will act as key support level
Sensex forming higher high and higher low pattern
image for illustrative purpose
Mumbai: The benchmark indices continued the positive momentum with BSE Sensex rising by 311 points. Among sectors, buying were seen in metal and banking stocks whereas IT index shed over one per cent.
Technically, on intraday time frames, the market is holding higher highand higher low formation and after a sharp pullback rally it iscomfortably trading above 50day SMA (Simple Moving Average) which islargely positive.
“For the trend following traders now, the 60,000 would act as a key support level. Above the same, the market could move up till 60,500-60,650 points,” said Shrikant Chouhan, Head of Equity Research (Retail), Kotak Securities.
On the flip side, below 60,000 points, a quick intra-day correction is likely. Below the same, Sensex could slip till 59,700-59,600 points.
