Upward breakout of Nifty Futures after closing above 5900 - GEPL Capital

Nifty Futures closed at 5941 which is just 119 points higher than its previous close of 5822. Nifty Futures opened with 76 points upward price gap at 5898 and intraday high was seen at 5963. Nifty Futures has given upward breakout by closing above 5900 and likely to surpass 6000 mark.

On a daily chart, 'Inverted Head & Shoulder' Pattern is seen with the neck line breakout above 5900 which is confirmed as shown in the chart. The target for 'Inverted Head & Shoulder Pattern' is placed near 6200 on positional basis.

The trading positions are recommended near 5900 with a stop loss of 5750 for an initial target of 6100 and next at 6200. The crucial support and stop loss is placed at 5750 on closing basis for current expected uptrend.

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 5970 & 6000 where as the intraday support levels are placed 5910 & 5850 respectively.

The breadth of the market was positive as out of 1434 stocks traded on NSE,817 stocks advanced, 480 stocks declined and 94 stocks remained unchanged.

Amongst the sectoral indices, the BSE Bankex and Realty indices were the out performers whereas BSE CD was the lone index to end in the red.

Source : Equity Bulls

Keywords