Nifty closes at 5682.55 after the pull back rally on expiry day - Microsec

After starting with a shaky session, the benchmark Nifty continuously fell to make a weekly low of 5604.85. However, some pullback rally to 5690 was witnessed on Thursday of last week. At the end of week Nifty closed at 5682.55. It had a net gain of 0.55% over the previous week's close. On the sectoral front, some buying interest was witnessed in Consumer durable, PSU, Banking and Information technology stocks. However, Realty, Auto, Oil & gas and Capital goods stocks traded marginally lower.

The daily chart of Nifty is showing that it has given a correction of 6.1% since last few days. Now Nifty is expected to get a strong support near 5540. If Nifty breaches 5540 level, the short term trend would become negative and it may further go down to 5450 and then 5250. However, a breach of 5830 would open the gate for 5980 and then 6115. We recommend maintaining stop loss at 5540 of the long positions.

For the coming week, first support of Nifty is at 5600 and the resistance is 5720. If Nifty breaks 5600, it may further go down to 5540 and then 5450. However, if Nifty is able to sustain above 5720, the level of 5750-5830 would become the next target.

Source : Equity Bulls

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