Trade setup for Wednesday: Top 7 things to know before Opening Bell
Nagaraj Shetti of HDFC Securities expects more upside towards 14,655 and higher in the next couple of sessions. Sunil Shankar Matkar January 20, 2021 / 06:50 AM IST
The market recouped more than half of previous two-day losses and closed 1.7 percent higher on January 19, driven by buying across sectors and positive global cues.
The BSE Sensex rallied 834.02 points to 49,398.29, while the Nifty50 climbed 239.90 points to 14,521.20 and formed a bullish candle on the daily charts after bearish candle seen in the previous two consecutive sessions. This pattern could indicate a sharp comeback of bulls from the lower levels. Most of the losses of the last two sessions have been erased in one session on Tuesday. This signals intact of short-term uptrend and one may expect Nifty to challenge the recent all-time high of 14,653 soon, Nagaraj Shetti, Technical Research An
Nifty formed a small bearish candle with a long lower shadow on the daily chart in Thursday s session. The 50-pack index negated the formation of higher highs and lows of the last nine sessions.
Defensive viz. FMCG, IT and pharma tend to do well during the corrective phase, but traders should maintain caution in the selection of the stocks as we’re seeing selective participation, said Ajit Mishra, VP - Research, Religare Broking.
He also added, Indications are in the favour of some consolidation in the index and it would be healthy for the markets. Nifty has critical support at 13,350 and its breakdown may result in further correction ahead. In the case of a rebound, the 13,550-13,600 zone would act as a hurdle.