Nifty likely to consolidate further and going ready to go higher above 10650
The Indian economy grew at 7.2 percent in October-December 2017, and will likely expand 6.6 percent in 2017-18, latest official estimates said on Wednesday, amid strong revival signs in consumption spending and investment activity.
A decisive close above 10650 would confirm the breakout of double bottom formation that will pave the way for an extended pullback to 10830. Since December 2017, Nifty has maintained the rhythm of not correcting for more than 2-3 sessions. In terms of Price wise, the index has already corrected by about 8 percent from the January 2018 high of 11172 and has seen a strong bounce back from the support area of 10300.
In the current scenario, Nifty has already corrected for the last two sessions after testing the resistance area of 10650, we expect the index to resume primary uptrend after the next 1-2 days of a breather. This is a bull market. Money will made by buying, even when we are in a correction. Major resistance at 10650 and 10800 then 11000.Major support seems for short term is 10270 and 10300.
Bank Nifty opened gap down and continued its weakness for second session. It recovered partially from the day’s low but, the bears are putting pressure at higher levels. Major support level of bank nifty are at 24950 and 25000 and resistance at 25800 and 26000.
* This material is for information purposes only and should not be constructed as an offer or solicitation of an offer to buy or sell any securities.