key support level is placed at 10,318.27, followed by 10,138.33. If the index starts to move higher, key resistance levels to watch out are 10,636.17 and 10,774.13.
50-share NSE Nifty recovered sharply from lows for the second consecutive day in a row on Tuesday suggesting accumulation by market participants at lower levels. The index formed a bullish candle on the intraday charts as the closing level was higher than the opening level.
The Nifty50 index recovered after falling below its 100-day exponential moving averages (DEMA) placed around 10,400 levels which suggests that the market is trying to form a bottom.
The possibility of the index moving higher from the current levels is more while on the downside Tuesday’s intraday low of 10,276 will be important for the bullish momentum to continue.
If the index manages to hold above this level after the Reserve Bank of India’s policy outcome, chances are higher of a bounce back towards 10,700 levels. The index has almost wiped out gains made in the year 2018.index which opened at 10,295 rose to an intraday high of 10,594.15. It slipped below its 100-DEMA to hit an intraday low of 10,276 before bouncing back towards 10,500. The index closed 168 points lower from its previous close at 10,498 levels.