The Index is standing at the cross roads—either it posts a much lower low around the 6700-mark or less and then bouncing back to close above 6750 signifying a short term bottom formation or else it closes around the 6700-mark indicating great weakness. If the latter scenario is reality, we might see the index testing 6650 or it hits even the support zone between 6635 and 6618 shortly. Thus, price action during the day would be quite critical. The chances are, we are likely to see a short term bottom today and also the probable sign of a reversal of this short corrective downtrend.
- Most critical levels: 6758 – 6784, this range would play a pivotal role showing strength or weakness in the market during the day.
- Strong support: 6719 – 6713
- Major support: 6650 – 6620
- Strong resistance: 6815 – 6820
- Major resistance: 6843 – 6863
Index should be able to stay above 13100-mark so that it can move further up . However, if it manages to hold above 13100-level, we can then expect it to move up and test 13176 and beyond that 13268 - 13327 range or even the level of 13435. On the other hand, if it fails to sustain above the 13000-mark it can come down to test a key support zone around 12853-level. As long as the Bank Nifty remains above 12787, there is no major threat to the index.
- Most critical levels: 13110 – 13010
- Strong support: 12853
- Major support: 12787 – 12750
- Strong resistance: 13116 – 13176
- Major resistance: 13268 - 13327