Nifty - Stays In Consolidation Mode

Nifty (CMP: 6201.85) - The action formed an indecisive candle with less volume which signifies tug of war between bulls and bears / lack of momentum. Technically, index has tested pitch fork upper line but doesn’t break that line and then finally closed below that line with small reversal candle which indicates bulls are loosing their momentum. For the day support at 6140 is crucial; as long as it holds the index could consolidate between 6140 – 6230 levels. While if the support at 6140 is breached, the index could correct lower towards 5970 – 5850 levels. Further bullish momentum is only above 6230 level. Index is trading above 20/40 hourly EMA. The daily oscillator placed in neutral, but hourly oscillator has given negative crossover which suggests that minor correction can be seen.

Oil & Gas segment look steady for further upside. Bank Nifty support is placed at 11250 – 11125. Resistance is placed at 11400 – 11500. Overall, volatility is likely to remain. The trend remains up even though one should look at some profit booking at higher levels.