NIFTY closes down 93.10 points at 5414.75 - Microsec

After opening on a shaky note, the benchmark Nifty continuously fell to make an intraday low of 5370.10 yesterday. At the end of day it closed at 5414.75. It had a net loss of 93.10 points or 1.69% over the previous day's close. On the sectoral front, some buying interest was seen in Metal stocks. However, Banking, Auto, FMCG, PSU and Health care stock lead to a decline.

Nifty has corrected almost 11.87 % from its recent high of 6093.35 made on 23rd July, 2013. Now it is likely to find a strong support in 5400-5370 band. If Nifty breaches 5370, the short term trend would become negative and it may test 5200 in the extreme short term. However, a move above 5520 is likely to take Nifty higher to 5670. We recommend maintaining a strict stop loss at 5370 of the long positions.

On an intra-day basis Nifty has a support at 5400 and is likely to face a stiff resistance near 5460. If Nifty breaks 5400, it may further go down to 5370 and then 5320. However, if it is able to sustain above 5460, the level of 5500 – 5520 would become the next target.

Source : Equity Bulls

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