Day Trading Guide
Nifty hovers around 8800 for seven straight trading sessions forming higher high–higher low bullish pattern. The focus area should be mid-cap stocks where Nifty 500 is trading around all-time high of 7660. The IT sector should be kept in focus as IT index has completed a “Bullish Three Drive Pattern” with above normal volumes witnessed in the past few weeks. The pattern indicates a target of 11500 on the index, which would get the index out of its bearish phase. It has made a higher low with a hammer on the weekly chart, which is an indicative sign of a reversal.