Significant resistance around 10630-650 zone leads nifty to close lower
The bounce back rally seems to be capped at crucial resistance level of 10630 which is also where the 50 DMA lies. Market would now witness a range of 10300-10650 levels for the coming days and a decisive move past any of these levels would decide the further move. The support for the day is seen at 10450-480 while resistance is seen at 10630. The index closed below its crucial 50-DMA placed at 10,623 levels respectively. Short term major support levels of the nifty in the range of 10400-500; hopefully buying emerge in this range.
The market participants will be looking forward to key economic data such as Nikkei Market Manufacturing Purchasing Managers Index (PMI), Fiscal Deficit and Gross Domestic Product (GDP) to be released later in the day.
Bank nifty opened flattish and witnessed selling pressure till the end and drifted below 25400. Bank nifty has been under performing the nifty index and heavy sell off in PSU banks has dragged the index lower. IF bank nifty holds 25250 then pull back seen at 25500 and 25800; otherwise major support was build up at 25000 levels.
* 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.