Uptrend formation may continue above 60,200 or 20-day SMA
On Wednesday, the benchmark indices witnessed a volatile trading session as BSE Sensex was up by 123 points. Among sectors, some buying was seen in banking and selective auto stocks whereas Reality and IT indices registered an intraday profit booking at higher levels.
image for illustrative purpose
Mumbai: On Wednesday, the benchmark indices witnessed a volatile trading session as BSE Sensex was up by 123 points. Among sectors, some buying was seen in banking and selective auto stocks whereas Reality and IT indices registered an intraday profit booking at higher levels. Technically, after a weak opening the index recovered sharply.
From the lowest point of the day, the Sensex recovered over 500 points. It also formed bullish candle which is broadly positive.
“We are of the view that, as long as the index is trading above 60,200 or 20-day SMA (Simple Moving Average) the uptrend formation is likely to continue,” says Shrikant Chouhan, head (equity research-retail), Kotak Securities.
Above which, the market could move up to 60,700-60,800 points. On the flip side, below 60,200 level, the selling pressure is likely to accelerate. Below the same, the market could retest the level of 59,900-59,700 points.
