Charts Indicate Indecisiveness

Mumbai: On Wednesday, the benchmark indices continued their positive momentum, with BSE Sensex rising by 148 points. Among sectors, the Defence index outperformed, rallying nearly 5 per cent, while the IT index lost the most, shedding over one per cent.

Technically, after a promising uptrend rally, the market is witnessing range-bound intraday activity at higher levels. It also formed a small bullish candle on daily charts, indicating indecisiveness between the bulls and the bears.

We are of the view that the short-term texture of the market is still on the positive side, but due to temporary overbought conditions, we could see range-bound activity in the near future.

For day traders, the key support zones are 75200-75000, while 75800-76000 could act as crucial resistance areas for the bulls.