Bank Nifty closes with massive gain of 3% - Angel Broking

Yesterday, Bank Nifty opened on a flat to positive note ignoring the bearish global sentiments and continued to soar higher throughout the session to close with a massive gain of 3%.

The momentum oscillators on the hourly chart continue to be placed well inside the overbought territory. However, one should remember that the oscillators can stay in the overbought zone for a long period of time. We are now approaching the 'Falling Wedge' pattern target of 12100. We are also witnessing a trend line breakout by joining the two significant highs of January 29, 2013 and March 11, 2013.

Traders holding long positions in the index can book partial profits near 12100 and should trail their stop losses to 11480 levels. We reiterate our view that any dip in the index should be used to create long positions. For the day 12058 - 12169 levels are likely to act as resistance, whereas 11720 - 11680 levels are likely to act as support.

Source : Equity Bulls

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