Nifty: Crucial immediate supports are placed around 8205-8175 levels : Technicals by HDFC Securities

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Observation:
 The smart upmove of the last three sessions seems to have ended today as Nifty reversed sharply from
the minor swing highs of around 8364 levels.
 Nifty opened today with flat note and made an attempt to move up during morning session. It made a
swing high of around 8364 levels and slipped into sharp intraday decline during afternoon to the close of
today’s session.
 The reversal of today’s session has occurred from near the key overhead resistance of around 8373
levels, which is 61.8% retracement of the high low range of 8626-7961 levels. This is going to be
interesting with regards to a short term uptrend of Nifty.
 Today’s weakness is indicating a strong counter attack of bears from the higher levels and this reversal
pattern opens up the possibility of either new lower top of previous sharp decline or a process of forming
new higher bottom of the recent advance, in the next couple of sessions.

 The daily short term momentum oscillator like 8 period ROC is in the process of turning down from near 

the equilibrium line (middle line). This is signaling weakening of upside momentum for short term.

Conclusion & Strategy:

 The underlying short term trend of Nifty seems to have reversed today from near the crucial overhead 

resistance of around 8373 levels.

 The crucial immediate supports are placed around 8205-8175 levels, which are going to be tested in the 

next couple of sessions. However, the important resistance is placed around 8365-75 levels.