Daily Technical Analysis

Nifty — The index opened on a flat note and dipped down towards 4040 in the morning trades after which it rallied. It ended the day with a gain of 88 points.

200 dma — The index is trading around 200dma at 4073, while intra-day dips are seeing support around the average. For the last four trading sessions, the index has seen a pullback from around the 200dma level. Lower support is around 3971 levels [62% retracement level from the low of 3555 (5 March 07) to the recent high of 4648 (24 July 07)].

5-Minute Chart — The index is consolidating in a band at 4164-4128.A breakout of the trading band would likely see intra-day directional move. Break above 4164 would likely see the index test higher levels around 4205, whereas break below 4128 could see intra-day weakness.

Conclusion — Trade a breakout from the 4164-4128 band intra-day.