Technical Wrap - March 31, 2022 - HDFC Securities

Mr. Nagaraj Shetti, Technical Research Analyst, HDFC Securities

After showing a decent upmove in the last three sessions, Nifty shifted into a choppy movement on Thursday-on the day of F&O expiry of March series and closed the day lower by 33 points. After opening on a positive note, the market made an attempt to move up in the early part of the session. It failed to sustain above 17550 and started to show a gradual weakness from the highs. An attempt of intraday upside bounce in between has met with selling pressure.

A small negative candle was formed on the daily chart with minor upper and lower shadow. Technically, this pattern indicate a range bound action in the market. After an attempt of upside breakout of immediate hurdle of 17500 levels (previous swing high of 16th Feb), the market failed to sustain the highs and slipped into minor weakness.

We also observe a lack of sharp selling from near the crucial overhead resistance of 17500 levels. This could be considered as a positive for the market as this consolidation movement could eventually result in an upside breakout of the hurdle.

The short term trend of Nifty is range bound and this consolidation or minor downward correction could continue for the next 1-2 sessions before showing another round of upside bounce. Immediate support is placed at 17350 levels.

Source : Equity Bulls

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TechnicalWrap HDFCSecurities Nifty Sensex