Nifty: Tech View: NIfty50 eyes more gains as it takes out 16,600 level

NEW DELHI: Nifty50 on Tuesday prolonged its current rise to the seventh straight session. Within the course of, it took out the 16,600 degree for the primary time ever. The NSE barometer has been defying weak point within the broader market of late and is buying and selling within the overbought territory, however there are not any promote alerts as of now. So long as the index trades above the 16,500 degree, momentum will keep optimistic, analysts mentioned.

Tuesday was the fourth straight day when Nifty50 made a better high-low formation. At shut, it was up 51.55 factors or 0.31 per cent at 16,614.60.

Rohit Singre of LKP Securities mentioned the index noticed a pullback after seeing promoting stress and held on to its bullish stream. He mentioned the 16,500 degree and this degree are going to behave as a great base. If we maintain above mentioned ranges, we might even see the index touching contemporary highs of 16,700 zone within the close to time period.”

Shrikant Chouhan of Kotak Securities mentioned Nifty50 has fashioned a breakout continuation formation and charts counsel merchants could desire to take some income close to the 16,700 resistance degree.

“So long as Nifty50 trades above 16,520, the uptrend formation might proceed as much as 16,675-16,720 ranges. Buying and selling under 16,520 might set off a faster intraday correction as much as 16,460-16,410 ranges,” Chouhan mentioned.

Nifty50 fashioned a bullish candle on the every day chart. The every day higher Bollinger Band continued to stretch greater, which is making room for the index on the upside, mentioned Gaurav Ratnaparkhi of Sharekhan. He mentioned Nifty50 is on the right track to hit 16,800 and mentioned the 16,500-16,450 vary that’s providing cushion for the final couple of classes could proceed to play its position as speedy assist.

Mazhar Mohammad of Chartviewindia.in mentioned there are neither promote alerts nor weaknesses on the value chart, besides the overbought readings on momentum oscillators. He suggested merchants to lock of their income by putting a cease under the 16,490 degree and search for a modest goal of 16,700.