Search

Oct 26,2020-Nifty vulnerable to profit booking near 12,000-12,025 resistance zone.

The market is in a prolonged consolidation phase as the level of 12,000 has become a major and stiff resistance point. It would pose formidable resistance unless taken out convincingly. Friday’s session was the sixth consecutive day when Nifty stayed within the broad range formed on October 15th.


Monday's session is likely to see a soft start to the day. The levels of 12,000 and 12,025 will act as resistance points, while support will come in at 11,840 and 11,785 levels.


Overall, the resistance at the 12,000-12,025 zone is so strong at present that unless these levels are taken out convincingly, the market will remain highly vulnerable to profit-taking bouts near this zone. This makes it important for market participants to not only avoid high leveraged exposures but also guard profits vigilantly at higher levels until the market is out from the present consolidation zone. A cautious approach is advised for the day.



1 view0 comments