Nifty Weekly Update for June 23-27 - Inder Bhatia

HOURLY CHART: The Indian market closed on a deep red note. Markets saw across-the-board selling due to the inflation figure of 11.05 percent for the week. The inflation was at a 13-year high. Both the indices have made a new low. We could now test 4267-4233 in coming days. On the upside 4535 would act as a strong resistance.

DAILY CHART: Last week the Nifty fell 3.75 percent and closed on a new low. We had achieved a target of 4639 on the higher side, which was mentioned in previous Weekly updates. The hourly chart had show an inverted head and shoulder and we had given next zone as 4730. However, this IHS failed and we had a reversal from 4679 to a new Nifty low. Now, an entry under the trendline 4448 zone has created a bearish sentiment. The next Nifty zone would be a halt of 4230-4064. On the upper side, 4535 -4670 would act as a strong resistance; on the other hand the RSI still has not made new low. Closing above 4513 nifty could see the Nifty test the 4573-4686 zone. On the lower side 4227-4167 is where Nifty could take support.

WEEKLY CHART: We have broken the existing range. A close below the low would see a new range of 4040-4500.