We had mentioned in the previous note that despite a gap-up start on the charts, there might not be any bullish implication on the following day. Nifty has shifted its resistance points even lower, and the 9,350-9,400 zone is now expected to pose stiff resistance. Volatility has risen despite a fall in the Volatility Index, India VIX, which fell 1.68% percent to 38.1825.
The index is likely to see a tepid start on Friday. The 9,190 and 9,265 levels are expected to act as key resistance. Supports will come in at 9,060 and 8,955 levels. The corrective move, if any, is expected to expand the trading range on the downside.
Given the predominantly bearish technical setup, there are chances of the downside momentum persisting in the market. We advise market participants not to get carried away by intermittent pullbacks as they might turn out to be deceptive. Any temptation to make bargain purchases at lower levels should be avoided. Overall, exposures should be kept on a modest level while sticking to the defensive stocks.
Nifty Bank (19069) Now 19732 is a god pivot to work with…strong above and weak below’ the Nifty Bank traded lower and has closed in the red…technically now 18351 is a possibility and stiff resistance exists at 19732