Stagnant movement between 5900 & 5700 for few more days - GEPL Capital

Nifty Futures closed at 5868 which is just 39 points higher than its previous close of 5829. Nifty Futures moved in just 35 points range throughout the day with intraday low at 5842. In absence of positive trigger, Nifty is unable to surpass 5900 and the current range bound movement is likely to continue for next few trading sessions.

As the earlier move is from 5556 to 5896 has consumed 6 trading sessions, hence a consolidation phase is likely for 9 working days from 1st July completing the timing ratio. The upward breakout may be seen at the weekend if closing is above 5900 mark and in such scenario; initial target is placed at 6100.

On the downside, a zone of 5750 - 5700 is likely to provide strong support if any downtrend is seen. Only in the case of closing below 5700, a sharp selloff may be seen till the earlier low of 5560. As long as Nifty trades below 6000 on weekly closing basis, the current intermediate trend will be in downward direction.

The intraday resistance levels for Nifty are placed at 5880 & 5910 where as the intraday support levels are placed 5800 & 5750 respectively.

The breadth of the market was negative as out of 1434 stocks traded on NSE, 515 stocks advanced, 786 stocks declined and 95 stocks remained unchanged.

Amongst the sectoral indices, all the BSE indices closed in green where as the BSE Power and BSE Realty indices gained the most.

Source : Equity Bulls

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