Technical outlook for the week ahead: Nifty has to sustain above 9,075 to log fresh gains
After scaling a new high in the previous week, the Nifty50 corrected to 9,019 during the week gone by and ended 0.57 per cent down for the week at 9,108. The Nifty50 corrected in the early part of the week and recovered on favourable macro factors such as a strong USD-INR, stable crude prices and continued FII buying post state election results.
The GST Bill is likely to be presented in Parliament next week. US markets corrected on worries over the collapse of the healthcare bill voting in the Upper House. The FIIs again emerged buyers, purchasing stocks to the tune of Rs 3,170 crore while the DIIs sold equities worth Rs 2,705 crore.
In the absence of any major event globally and at home, the market is likely to remain range-bound over the next week.
Technical Outlook
The Nifty50 formed a ‘Hanging Man’ pattern on the weekly charts as it failed to continue its momentum and witnessed pricewise and timewise consolidation for most part of the week. The overall trend remained positive and it now has to hold above the 9,075 mark to witness buying interest and rise towards 9,218 and 9,280 levels. On the downside, major supports exist at 9,020 and 8,950 levels.
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