Sustained buying led to a move inch closer to 9000, Reliance extended multi-year rally: Angel Broking

Daily Market Wrap Up by Mr. Sameet Chavan - Chief Analyst - Technical & Derivatives, Angel Broking

Technical Outlook

We had a great start for the new trading week as most of the emerging markets were quite cheerful after US Dollar Index maintaining its position below the 102 mark. In fact, the momentum kept on accelerating as the day progressed and due to such sustained buying, the Nifty closed with third quarter of a percent gains. Clearly, the heavyweight counters 'Reliance Industries' has been the eye-catcher since last few days and has extended its multi-year rally by nearly four percent during the session.

If we refer to our earlier articles, despite intra-week corrections, we stuck to our 'Buy on dips' strategy and used these declines to advise fresh longs in the market. The market seems to have obliged this move as we witnessed a decent recovery in last two days after retesting the mentioned support level of 8867. We would continue to remain upbeat in market and expect the index to hit new all time high soon. For the coming session, 8993 would be seen as immediate hurdle; but we expect it to be surpassed in coming days. On the flipside, 8914 - 8860 remains to be a strong support zone.

Source : Equity Bulls

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