NEW DELHI: The Nifty50 on Friday faced stiff resistance around the 10,300 level. Selling in the last one hour ensured that the index ends up near its intraday low level, forming a bearish candle on the daily chart.

Traders should opt for the ‘sell on rise’ strategy, as the index has so far failed to instil confidence of sustained buying momentum, say analysts.

“After Thursday’s recovery from the ‘200-day SMA’, it was a no brainer that we could see some extension of it. But traders did not have conviction to stay long, as they chose to exit with small gains. We would continue with our ‘sell on rise’ approach. The 10,140-10,350 range has become a no trade zone for the market. If any negativity has to resume, it would only happen after the violation of 10,140,” Sameet Chavan of Angel Broking aid.

At close the index was down 15.80 points, or 0.15 per cent, at 10,226.

Chandan Taparia of Motilal Oswal Securities said the index saw a bearish contradicting pattern on the daily scale, which is generally sign of a initialisation of sideways momentum.

“The index has been respecting a recent swing low of 10,141. Unless this level is negated on a closing basis, expectation remains high for a consolidation,” the expert said.

“We have seen lack of follow through to Thursday’s some what stronger upmove, Friday’s price action can be attributed to week end factor as markets merely appear to have witnessed profit booking without much intense selling pressure. More directional clues shall appear post Monday’s session and a positive close on first day of the week may set the tone for extension of this pull back move towards 10,450 level,” said Mazhar Mohammad, Chief Strategist – Technical Research & Trading Advisory at Chartviewindia.in.

Chavan does not expect Nifty to surpass the 10,350 hurdle in coming days. “The index is likely to first slide towards 10,033 and then a possibility of entering sub-10,000 levels cannot be ruled out,” he said.