Benchmark remained under pressure; but broader market showing some hopes: Angel Broking
“Markets looked nervous right from the opening tick, taking cues from the SGX Nifty and other Asian bourses. Index consolidated throughout the first half by maintaining a negative bias. However, post the mid-session; we witnessed a sudden spurt in the market, which subsided after a while. But the highlighting part was the outperformance of the broader market in the latter half. Although, index corrected once again, we saw tremendous improvement in the market breadth.
As far as index is concerned, we have seen correction in last five days and meanwhile, index kept breaking few intermediate support levels. Now, next major zone is placed around 10720 – 10680. This becomes a make or break zone for the Nifty in the near term. But we would highlight that today’s outperformance from the broader market in the second half is quite encouraging and if we continue to see similar action tomorrow, we reckon 10720 – 10680 may probably be defended and the possibility of some relief then cannot be ruled out. On the higher side, 10800 is the level to watch out for. All in all, tomorrow being Friday would become a crucial day for our market, this may well be the trend deciding factor in the near term.
During the day, midcap index did well and hence, a follow up move in this basket would probably bring some life back in most of the beaten down names. Also, banking space showed tremendous resilience and hence managed to close in the green by bucking the trend. ”