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Tech View: Nifty forms Marubozu candle on first day of March series. What should traders do on Saturday


Clever On Friday, the first trading session of the March series ended 366 points above the 22,300 mark and at new record highs. The index formed a bullish Marubozu candle on the charts.

“The index has broken out of a two-month consolidation zone and such a contraction in volatility is usually followed by a strong rally. The Fibonacci projection level of 61.8% since the start of Nifty’s rally since October is at 23,200. If the breakout holds, a rapid advance towards 23,000 can be expected. The demand zone has now moved upwards to between 22,200 and 22,250, which is likely to act as support for Nifty,” said Sheersham Gupta, Director and Senior Technical Analyst at Rupeezy.

The stock markets will be open tomorrow during a special trading session from 9:15 a.m. to 10 a.m. then from 11:30 a.m. to 12:30 p.m.

What should traders do? Here’s what the analysts say

Jatin Gedia, Sharekhan

On the daily charts, we can observe that the Nifty has broken out of a running triangle pattern, indicating the start of a new leg of upside. The daily Bollinger bands have started to widen and prices trading along the upper band indicate that there could be strong upward trends. We expect Nifty to target levels between 23,000 and 23,100 in the near term perspective. On the downside, the 21900 – 21860 area will now act as a crucial support zone and a break below will result in a trend reversal.

Tejas Shah, Technical Research, JM Financial and BlinkX

Nifty closed above the crucial resistance zone of 22,250 to 300 levels on a weekly closing basis and we believe that as long as Nifty sustains above the 22,000 mark, the rally is likely to continue. continue and it will be able to test the next resistance zone of 22,450 to 500. on an immediate basis and finally Nifty will be able to test 22,700 on the higher side.

Rupak De, LKP Securities

Nifty remained above 22,000 in the early hours, propelling the market higher throughout the day. The breakout of the index consolidation, coupled with a sustained move above the moving average, fueled a strong rally. In particular, the Relative Strength Index (ROI) confirmed a bullish crossover, indicating positive momentum in the market. Sentiment is optimistic about possible upside moves, with expectations to buy on dips. On the upper scale, resistance is apparent at 22,400/22,600, while support is placed at 22,200.

(Disclaimer: The recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)


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