Nifty closes down 36 points at 5896.395 - Microsec

After opening on a subdued note, the Nifty rose to make a high of 5940.20 and then it continuously fell to make a low of 5884.55 yesterday. At the end of day Nifty closed at 5896.95. It had a net loss of 36.00 points or 0.61% over the previous day's close. On the sectoral front, some buy interest was witnessed in FMCG and IT stocks. However, Realty, Capital goods, Power, Auto and Oil &gas stocks lead to a decline.

Nifty has shed almost 3.9% from its recent high of 6111.80 made on 29th January, 2013. Now it is expected to get a strong support in 5800-5840 band. If Nifty breaks 5800, the short term trend would be negative and it may further go down to 5730 and then 5650 in the short term. However, a breach of 6000 is likely to take Nifty higher to 6180 and then 6250 in the extreme short term. We recommend holding long positions with stop loss of 5800.

On an intra-day basis Nifty has a support at 5870 and is likely to face a stiff resistance near 5930. If Nifty breaks 5870, it may further go down to 5840 and then 5800. However, if it is able to sustain above 5930, the level of 5980 - 6000 would become the next target.

Source : Equity Bulls

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