Tech View: Bulls not in a mood to give in, eyeing 13,350 level now

NEW DELHI: Nifty50 on Tuesday broke above the crucial resistance of 13,000-mark with ease. The index formed a bullish candle on the daily chart. Analysts said the bulls seem to be in no mood to give in. They believe the index could flirt with the 13,350 level in the coming days.

The bulls are determined to drive the index higher, said Gaurav Ratnaparkhi, Senior Technical Analyst at Sharekhan.

“The hourly Bollinger Bands that had become flat, have started expanding, in line with the fresh up move. Going ahead, 13,100 is the immediate hurdle to watch out for. Beyond that, the index can march towards 13,350. A fall below 12,960, which was earlier acting as a resistance, will now act as a support as per the principle of role reversal,” he said.

The index closed the day at 13,055.15, up 128.70 points or 1 per cent. With this, the index finally gave a consolidation breakout after six trading sessions, said Chandan Taparia of Motilal Oswal Securities.

“Supports are gradually shifting higher. The index needs to hold above 12,900- 12,950 to witness an upmove towards 13,150 and 13,250 levels. On the downside, support is seen at 12,850 and 12,750 levels,” Taparia said.

Check out the candlestick formations in the latest trading sessions
Nagaraj Shetti of HDFC Securities said he would look for more evidence of upmove in the short term to call Tuesday's gains as a decisive upside breakout of the trend line-weekly chart. The immediate support is placed at 12,950, the analyst said.