Citigroup - India Technicals

Citigroup in their daily technical report,

Nifty — The index opened on a flat note, dipped toward 4233 in the afternoon session and witnessed a rally toward the closing session. The index ended the day up 18 points.

Close above 20 dma — The index is sustaining above the 20 dma at 4217 on a closing basis for the last two trading sessions. Intra-day dips should find support around the 20 dma level. [dma = daily simple moving average]

Resistance — The resistance level for the day's trading is around 4293 (high of 5 June 07). The Stochastic (5,3) on daily chart has entered the overbought zone.

Intra-day support — Index has intra-day support around 4257 (high of 20 June 07). A break below 4257 can see index test 20 dma around 4217.

Conclusion — Index likely to face resistance around 4293; expect intra-day
weakness below 4257.