By Mehul Kothari
Sr. Technical Analyst – Equity,IndiaNivesh
Post breakout from 10930 mark, yesterday the index faced some profit booking from higher levels but managed to sustain above 10900 mark. We reiterate our stance that pattern wise there is a clear breakout which indicates potential upside towards 11000 – 11100. In addition, the daily ADX (14) indicator has signalled a positive crossover which might bode well for the bulls. Thus we maintain our stance that the upside could continue in upcoming sessions.
At the same time, we would like to mention that 11100 – 11200 still remains an important resistance where traders should start booking their long positons for the time being. Meanwhile, 10840 – 11000 levels are likely to act as intermediate support and resistance respectively in the coming session. Traders are again advised to avoid over leveraged positions.
