Nifty to weaken towards 5630 - Aditya Birla Money

Nifty opened with a downside gap and traded with a negative bias falling sharply in the closing hours testing our advocated support at 5650.

With this fall Nifty has retraced back 61.8% of its recent rise. With prices closing near day lows, further weakness towards 78.6% retracement at 5630 seems likely.

Price action at 5730 zone would be crucial; if prices stabilize and consolidate the index could resume its uptrend towards 5800-5850. Whereas failure to do would lead to prices falling towards the lower band of falling channel at 5600 – 5570 levels.

Weakness towards 5630 likely; any upmove is likely to face resistance at 5680-5690 zone.

Source : Equity Bulls

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