Markets opened on a negative note in line with global markets. Sensex gave a gap down opening and continued to drift down, finally closing in red. Nifty broke the channel on downside and closed below it.
Nifty may take support near 5,100 to 5,070, which is the intersection of 20 and 40 HEMA and also the equidistance of the channel towards downside. Nifty has done more than 38.2% retracement of the rise from 4,800 to 5,368. In case, it completes 50% retracement, it can test till 5,088 levels, which is very likely in the present scenerio. The breadth was strongly
dominated by bears. On the upside Nifty has resistance around 5,300. On the hourly chart, the momentum indicator KST breached the zero line and continued to move southwards, and the
20 HEMA turned downside indicating the possibility of some more downside. However our short-term target of 5,500 and mid-term target of 6,300 is intact with reversals at 5,040 and 4,850 respectively.
dominated by bears. On the upside Nifty has resistance around 5,300. On the hourly chart, the momentum indicator KST breached the zero line and continued to move southwards, and the
20 HEMA turned downside indicating the possibility of some more downside. However our short-term target of 5,500 and mid-term target of 6,300 is intact with reversals at 5,040 and 4,850 respectively.
Realty was the worst hit sector, as majority of the stocks were down by 4-8%. Similarly selling was witnessed in banking and financial sector, as Reliance Capital (-8%), Canara Bank (-6%), Kotak Mahindra Bank (-5%) were all down.
