NEW DELHI: Nifty50 reclaimed the 12,200 mark on Thursday, forming a bullish candle on the daily chart. The index needs to hold above the 12,130-50 range if it were to hit its recent record high level at 12,293. If it fails to do so, a consolidation is likely to start in the coming days, analysts said.
“The index negated the formation of lower highs of the last four sessions. It needs to hold above the 12,150 mark to see a lifetime high of 12,300. Major support for the index is seen in the 11,900-11,835 range. The index may find immediate support at 12,050 level,” said Chandan Taparia of Motilal Oswal Securities.
On Thursday, the index rose 190.55 points, or 1.58 per cent, to close at 12,215.
“It had surpassed its crucial hourly as well as daily moving averages, which were acting as resistance in the last few sessions,” said Gaurav Ratnaparkhi of Sharekhan.
“Going ahead, the 12,250-12,300 range will be the key barrier zone to watch out for. Once that level is taken out, Nifty will be poised for significant upside from a short-to-medium term perspective. A minor degree dip towards the 12,150-12,100 zone, meanwhile, is possible before the index stretches higher,” Ratnaparkhi said.
Mazhar Mohammad of Chartviewindia.in advised investors to make use of any weakness in the coming sessions to go long around the 12,100 mark and remain optimistic as long as Nifty sustains above the 12,132 level on a closing basis.
“The index has bridged the bearish gap registered on January 6 in the 12,179-12,191 range. Hence, sustaining above the 12,132 level may take Nifty to an uncharted territory. Contrary to this, a failure to sustain above the 12,132 level on a closing basis shall trigger consolidation,” he said.
Source: Economic Times
