Yesterday, NIFTY opened on a positive note and jumped above the 22,750 mark in early trade. The index started forming higher tops and higher bottoms on the intraday charts. Buying interest intensified after NIFTY breached 22,800, pushing the index to a high of 22,961. It eventually closed just below 22,950.
NIFTY has regained both the 10-DEMA and 20-DEMA, positioned in the 22,750–22,850 zone. This indicates improving strength in the index. Going forward, NIFTY could extend its recovery and test the 50-DEMA, which is placed near 23,150.
On the downside, the 22,750–22,650 zone will act as an important support area. Long positions should be maintained with a protective stop-loss below 22,650.
| Open | 22690 |
| High | 22961 |
| Low | 22656 |
| Close | 22936 |
| S 1 | 22741 |
| S 2 | 22546 |
| R 1 | 23046 |
| R 2 | 23157 |
| Action | SL | TGT |
|---|---|---|
| Buy above 22975 | 22890 | 23175 |
| Sell below 22650 | 22726 | 22500 |