Technical Wrap - March 1, 2023 - HDFC Securities

Mr. Nagaraj Shetti, Technical Research Analyst, HDFC Securities

After showing continuous decline in the last 8 sessions, Nifty halted its weakness and rebounded on Wednesday to close the day with decent gains of around 146 points. After opening with a positive note, the market continued with upside momentum for the whole session. Sizable intraday dips in between was missing during the day.

A long bull candle was formed on the daily chart, which indicates short term upside reversal in the market. Hence, the low of Tuesday at 17255 could now be considered as a short term bottom reversal for the market. However, the medium term down trend in Nifty remains intact and present upside bounce could be considered as a pullback rally of a bearish trend.

The larger degree negative pattern like lower tops and bottoms is still intact as per daily timeframe chart. The swing low of Tuesday (17255) could be a considered as a new lower bottom formation of the sequence. Further sustainable upside from here could open short term upside bounce in the market ahead. Immediate support is at 17250 levels and on the higher side, Nifty could encounter strong resistance at 17600 levels.

Source : Equity Bulls

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TechnicalWrap HDFCSecurities Nifty Sensex