NIFTY Index Chart Analysis

NIFTY FAILS TO FIND A POSITIVE TRIGGER

After a volatile and eventful week, the market recovered at the weekend and closed positively. It is proven once again that the budget week is volatile. The Nifty traded in a 618 points range on the budget day and is still trading within that range. Except for five days, the last 37 days of price action are also limited to below 20 DMA. On the budget day, it almost moved close to the long-term average of 200 DMA. The 20-week average acted as resistance. Earlier, it acted as support during the four weeks of inside action. It is important to cross the 20-week average of 17,932 and a close above the previous week’s high of 17,972 is crucial for a bullish bias.