Tech View: Nifty charts hint at indecisiveness; key hurdle at 24,400; here’s how to trade on Tuesday
Nifty's short-term outlook remains positive, with a potential range-bound movement in the coming sessions. However, a decisive move above 24,400 could spark a significant market rally, according to HDFC Securities' Nagaraj Shetti.
ended Monday’s session flat amid non-directional activity, indicating indecisiveness between bulls and bears and formed a Doji-type candle on the daily chart.The short-term trend of Nifty continues to be positive. There is a possibility of continuation of this range movement for the next 1 or 2 sessions before witnessing further up move above 24,400 levels. A sustainable move above the key hurdle of 24,400 levels could open a sharp up move for the market ahead, said Nagaraj Shetti of HDFC Securities.
Chartists said the intraday market texture looked non-directional as traders were awaiting for either side breakout.
What should traders do? Here’s what analysts said:
Rupak De, LKP Securities
Nifty remained range-bound during the day, as market participants appeared to be in no hurry to decide the market's direction. Support remains at 24,240, and a fall below this level might weaken the strength of the bulls. Until then, dips might be bought into. On the higher end, resistance is seen at 24,375-24,400. Above 24,400, the index might move towards 24,600.Jatin Gedia, Sharekhan
On the daily charts, we can observe that Nifty has faced resistance from the zone of 24,370 – 24,500. Bollinger bands on the hourly charts suggest contraction and hence we are expecting range-bound price action over the next few trading sessions. Going ahead we expect the nifty to trade in the range 24,100 – 24,400.(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)
Source: Stocks-Markets-Economic Times
