NIFTY closed up 118.40 points at 5935.10 - Indsec Securities & Finance

The Nifty closed the day positive up 118.40 (2.04%) points at 5935.10 from 5816.70 Wednesday, on the back of low volumes. Major loser in Nifty were Maruti (-2.46%), Ranbaxy (-1.03%) and Cipla (-0.02%) whereas major gainers were Sesa Goa (+6.29%), Hindalco (+4.68%) and HDFC Bank (+3.63%).

The volume in the cash market for both NSE and BSE put together was down 5.00% to Rs. 100.90 bn from Rs. 106.30 bn. The advance/decline ratio stood at 1.85:1 from 0.78:1 for stocks traded on NSE.

Nifty followed global cues as Fed Chairman indicated that they will not be withdrawing QE till they are satisfied with the employment numbers. The Gartley pattern which was earlier getting formed on Nifty on the hourly chart failed yesterday as market closed above X (5900) levels. As a result of which a simple AB=CD pattern is getting formed. The RSI(14) on the hourly chart faced resistance at the higher range of bearish band, we will have to see whether it is able to cross it and test the upper range of bullish band.

Nifty on the daily chart breached 50.0% extension intraday of swing High/Low 6229/5477 and closed below it. The RSI(14) on the daily chart took support at 50 levels and managed to close above it.

Source : Equity Bulls

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