Uptrend may continue in near future
For now, 62,200-62,000 would be sacrosanct support zones, above which the index may hit fresh all time high of 62,750-63,000; On flip side, below 62,000, uptrend would be vulnerable, below which, traders may prefer to exit from trading long positions
Mumbai: The benchmark indices held the positive momentum, BSE Sensex was up by 211 points. Among sectors, Oil and Gas and Energy indices rallied most, whereas metal stocks corrected sharply as a result Metal index shed over one per cent.
On the backdrop of weak market conditions our market opened with a red, but after early morning correction, it bounced back sharply. Higher bottom formation on intraday charts indicate, continuation of uptrend in the near future.
"For the trend following traders now, 62,200-62,000 would be the sacrosanct support zones. Above which, the index may hit the fresh all time high of 62,750-63,000," says Shrikant chouhan, Head of Equity Research ( Retail), Kotak Securities.
On the flip side, below 62,000, uptrend would be vulnerable. Below the same, traders may prefer to exit out from the trading long positions.