Market is largely negative
Below 82,200 it may slide to 81,700-81,500, above 83,100 it may advance to 83,700-84,000
Market is largely negative
Mumbai: In the last week, the benchmark indices witnessed profit booking at higher levels. The Sensex was down by 950 points. Among sectors, the IT index lost the most, shedding over 8 per cent, whereas the Media index outperformed, rallying over 5 per cent.
During the week, the market consistently faced selling pressure near the 84,500 level. Techni-cally, after a promising uptrend, the market has formed a reversal pattern near the 84,500 level, and it also formed a bearish candle on the weekly chart, which is largely negative.
“We believe that the intraday market texture is still on the weak side, but a fresh selloff is pos-sible only if the market dismisses the 20-day SMA (Simple Moving Average) or 82,500,” says Amol Athawale of Kotak Securities.
Below this level, the market could extend the correction to 82,200. Further downside may con-tinue, potentially dragging the index to 81,700-81,500.
On the upside, 83,100 would act as an immediate resistance for the bulls. Above this, a pullback could continue towards the 50-day SMA, around 83,700-84,000.
