NIFTY closes at 5287.45, down 189.05 points - Microsec

After opening on a shaky note, the Nifty continuously fell to make an intra-day low of 5274.25 yesterday. At the end of day Nifty closed at 5287.45. It had a net loss of 189.05 points or 3.45% over the previous day's close. On the sectoral front, huge selling pressure was seen in Banking, Capital goods, Power, Realty and PSU stocks. However, IT stocks traded marginally higher.

Nifty has corrected almost 13.54 % from its recent high of 6093.35 made on 23rd July, 2013. Now Nifty is expected to get a strong support near 5180. If Nifty breaches 5180, the short term trend would become negative and it may test 5020 and then 4900 in the short term. However, a close above 5510 is likely to take Nifty higher to 5670. We recommend maintaining a strict stop loss at 5180 of the long positions.

On an intra-day basis Nifty has a support at 5250 and is likely to face a stiff resistance near 5310. If Nifty breaks 5250, it may further go down to 5220 and then 5180. However, if it is able to sustain above 5310, the level of 5340 - 5370 would become the next target.

Source : Equity Bulls

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