MARKET SUMMARY: – On Friday trading, Indian benchmark Nifty index on moody’s upgrade rating on India, opens gap positive 100+ points at 10324 and marks intraday high of 10343. The Nifty index failed to capitalize on the early gains and made intraday low of 10268. The Nifty index added 68 points in the day trading and closed at 10283. On WoW basis nifty saw heavy losses and mark 10094 as its weekly low, but finally closed in red with the small losses of 39 points.
TECHNICAL COMMENT: – On the daily chart, the Nifty index opens gap up but retreats from its early gains, forms bearish candle for the day. The index broke out of its declining trend in fashion and holds above the resistance line. On close, RSI stands at 53 and the Nifty index price above the SMA of 5 and 21 days.
For buying momentum to continue, the Nifty index has crucial support level at 10230. It has immediate resistance at 10340 levels above that 10375-10405-10440 can be tested on the higher side. Whereas below the level of 10230 some downside to the level of 10185-10130 can be witnessed
BOTTOM LINE: – For the Nifty traders, the Nifty index may retest 10340 for it buying confirmation in the short time.