Following the global cues, Nifty opened on a positive note and jumped above 8000 mark in early trade, thereafter it started making higher tops and higher bottoms on the intraday chart and breached 8100 mark in the last hour of trade. It made a high of 8128 and finally ended at 8119 with a gain of 2.12%. The Advance Decline ratio was almost 4:1.
Yesterday Nifty broke its recent high of 8055 and gave a confirmation of higher tops and higher bottoms on the daily chart. It closed above its 50 DEMA, which is placed at 8048. It broke the neckline of “Inverse Head & Shoulder” pattern on the daily chart. Now Nifty can test 8225 in short term, However the target of Inverse H&S pattern comes at 8550. On the downside, the level of 8000 will play an important support for immediate term. However the short term support is placed near to 7800.