The benchmark index Nifty opened gap up by 66points at 10426 and went on to make a low of 10350. The index has seen two gap up openings in the last two trading sessions but couldn’t hold the highs and sell off started from higher levels. Markets are showing signs of bear markets coming in after a yearlong bull trend. Still it’s too early to say anything until and unless Nifty breaks the levels of 10300 points and closes below it we could see more downside till 10200 – 10000 levels. According to our Strategic Technical Analysis 100 SMA has always acted as a support zone for the index with the trend line also coming in between for the prices to rest there. It’s going to be a decisive move for the index to trade at such levels as 10450 – 10600 levels will be the level of resistance.
Bank Nifty has kept on making new lows after it opened today at 24997. The index has shown signs of weakness to recover yet with breaking the support of 25000 levels and now hovering around 24800 levels with its next support zone being at 24600levels. And on the upside the index could see a move until and unless it closes above 25440 levels which is also the 100 SMA mark.