Go for level-based trading
On last Tuesday, the benchmark index Sensex was up by 302 points. Among sectors, buying was seen in auto, FMCG and healthcare stocks whereas banking and financial stocks witnessed intraday profit booking at higher levels.
image for illustrative purpose
Mumbai: On last Tuesday, the benchmark index Sensex was up by 302 points. Among sectors, buying was seen in auto, FMCG and healthcare stocks whereas banking and financial stocks witnessed intraday profit booking at higher levels.
Technically, after an early morning intraday rally one more time the index took the resistance near 65,870 and reversed. In addition, on intraday charts the index has formed Double Top formation, which indicating temporary weakness.
“We are of the view that, the short-term texture of the market is non-directional. Hence, level-based trading would be the ideal strategy for traders. For the intraday traders now, the 65,870 would be the crucial breakout level,” says Shrikant Chouhan of Kotak Securities.
Above which, the market could move up till 66,100-66,200. On the other side, below 65,400 the selling pressure is likely to accelerate. Below the same, the index could retest the level of 65,150-65,000.
