Above 72,400-72,200, it could retest 72800-73000; below 72200, it may drag the market to 71800-71600

Bizz Buzz Bureau Mumbai

Thebenchmark indices witnessed volatile trading. After a roller-coaster session, the Sensex fell 49 points. Among the sectors, the Media index outperformed, rallying 2.63 per cent, while the Healthcare index was the worst performer, shedding 2.50 per cent.

Technically, after opening on a muted note, the market once again faced resistance near 73,000 and reversed. From its intraday high, it shed nearly 650 points. On the daily chart, the market formed a bearish candle, while the intraday charts continue to show a lower-top formation, which is largely negative.

“We believe that 72,400-72,200 remains a strong support zone for day traders,” says Shrikant Chouhan, Head - Equity Research, Kotak Securities. If the market manages to hold above this zone, it could retest 22,750–22,800/72800-73000. On the other hand, a break below 22,550/72200 could accelerate selling pressure, potentially dragging the market down to 22,400–22,350/71800-71600.

The intraday market outlook is non-directional; therefore, level-based trading would be the ideal strategy for day traders.