Nifty at the opening saw a gap down of about 70 points.
It then saw a minor recovery in intra-day, but failed to sustain.
Nifty finally closed with a loss of 120 points.
Market is placed in short-term correction trend.
Nifty is now closer to previous major bottom of 11,600.
Market is closer to 200 days moving averages indicator.
Nifty in-case of a recovery, then intraday resistance above is at 11,740.
Nifty has to trade above this resistance 11,740 for a positive trend.
Then the next major resistance above is at 11,800.
On the otherhand, incase of a correction and if trades below 11,640, then it indicates a further weakness.
Then the next major support below is at 11,600.
- V. Sundar Raja