NEW DELHI: Nifty50 climbed over 1 per cent on Thursday and formed a bullish candle on the daily chart with a long lower wick, which reflected buying at lower levels with support at the 13-day moving average.
At close, the index stood above its 20-day and 50-day simple moving averages and nullified the Bearish Belt Hold pattern formed in the previous session. Analysts advised traders not to read much into the moving averages in a sideways market, but believe a breach of the 14,900 level could bring the bulls back into the game.
Chandan Taparia of Motilal Oswal Securities said Thursday's bullish candle was healthy. He said the index has formed higher lows in last two sessions and managed to hold above the 50-day exponential moving average (EMA).