Thursday, 3 May 2018

Nifty Likely To Consolidate Around 10,700; Buy Asian Paints For Short Term

Posted by suhani varma on Thursday, May 03, 2018 with No comments

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The Nifty in the previous session ended 0.2 percent lower at 10,718.05. Failing to breakout resistance placed around 10,780 followed by day long consolidation around 10,700 mark led to a bearish body candle on daily chart.

Considering the broader up-trend we still prefer buy-on-dips around critical supports placed around 10,700 and 10,640. Upside pivotal resistance is placed around 10,780.


On the Nifty hourly chart; ADX is trending higher and recovered above twenty despite RSI shows negative divergence, which implies this uptrend is likely to continue further. Hence, intraday dip towards 10,700 and 10,640 might be a decent opportunity for the next leg of up-move towards 10,780 and 10,820.

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