Technical View - Dec 31, 2020 - Mr. Subash Gangadharan, Technical and Derivative Analyst, HDFC Securities

Markets corrected marginally on Thursday after six consecutive sessions of gains. The Nifty finally shed 0.2 points to close at 13,981.75.

Broad market indices like the BSE Mid Cap and Small Cap indices gained more, thereby out performing the Sensex/Nifty. Market breadth was therefore positive on the BSE/NSE.

Sectorally, the top gainers were the BSE Realty, CD, Metal and Healthcare indices. The top losers were the BSE Telecom, FMCG and Energy indices.

Technically, while the short term uptrend is intact, markets are showing signs of tiredness as selling pressure is emerging from the highs. The moving averages on the intra day charts too have flattened indicating the short term uptrend is matured. Markets could therefore consolidate in a range for the next few sessions. Short term supports to watch for a trend reversal are at 13864.

Conclusion: The short term trend remains up, but is looking tired. Markets could therefore consolidate in a range for the next few sessions. Short term supports to watch for a trend reversal are at 13864.

Source : Equity Bulls

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