Outstanding performance by the bulls; Nifty ends around 15250: Angel Broking
(Time Zone: Arizona, USA)
Market Wrap-up by Mr. Ruchit Jain (Senior Analyst - Technical and Derivatives, Angel Broking):
"Nifty started the day with a decent gap up well above the 15000 mark. The index then crept higher towards the swing high of 15175. Just when it looked that the Nifty is facing some hurdle towards that swing high and saw some dip, the index heavyweight RIL took the leadership to take out that resistance and then we witnessed a swift upmove in the last hour to end the day around 15250, with gains of over a couple of percent.
Once again, post the recent correction, our markets have managed to show a V-shaped recovery and that is a usual character of a strong bull market. At the start of the week, we were sceptical of the upmove and were reading it as a pullback as both Nifty as well as BankNifty had breached their swing lows. However, as the chart structure changes, we have to follow the markets and today we saw a change in the structure as the index breached the crucial resistances post the gap up. A continuation of this upmove could lead the Nifty towards its previous highs of 15430 whereas the 'hourly 20 EMA' around 15000 would be seen as a crucial support. In last couple of sessions, the banking index was showing some relative underperformance, but it regained the momentum in today's session (along with other heavyweights) which led the benchmark higher.
The Nifty Midcap index has already been doing well and stocks from the broader markets are providing good trading opportunities. Thus, we continue with our advice to look for stock specific buying opportunities and trade with proper risk management."