Sensex forms Long Leg Bearish candle
For the bulls, 53,000 would be the key support level; below 53,000, it could slip to 52800-52,700
image for illustrative purpose
Mumbai: The benchmark indices witnessing profit booking at higher levels, after a volatile intraday session, BSE Sensex was down by 145 points.
Among Sectors, some buying interest was seen in metal stocks, while intraday profit booking was seen in selective IT and media stocks. Technically, after three days' uptrend rally, one more time the index took the resistance near 53,800.
"It also formed long leg bearish candle formation near important resistance level. We are of the view that, due to temporary overbought situation, we may see some profit booking at higher levels.
For the bulls now, 20-day SMA (Simple Moving Average) or 53,000 would be the key support level," says Shrikant Chouhan, Head of Equity Research (Retail), Kotak Securities. On the higher side, 53,800 would be the key resistance level to watch out. Below 53,000 support level, the index could slip to the level of 52800-52,700.
