The NIFTY opened on a subdued note and traded in a narrow range for the initial hours. The
nifty recorded a low of 4639, before picking up strong momentum toward the end of the day. The
nifty finally closed at 4756, after recording a high of 4771.
With today’s movement the index has just closed above its breakdown level of 4720 (as shown in
the chart). Sustenance above the 4720 levels could see the index extending its pullback to the
levels of 4835-4875--4900 levels. We suggest maintaining a negative bias as long as the nifty
does not close above the 4900levels (38.2% retracement level).
On the downside 4640 levels is providing immediate support (as discussed in the previous
update). A close below the 4640 levels would see the index gathering momentum on the downside
and could test the levels of 4600 /4560 /4488 levels.
