Sensex Today

Technical Analysis of Sensex: Key Updates for Traders

Market Summary:

The benchmark Sensex index ended Tuesday's trading session with a significant gain, climbing over 400 points to close above the 61,000 level.

The market sentiment was predominantly positive, with broad-based buying across sectors.

The rally was led by gains in heavyweights such as Reliance Industries, HDFC Bank, and Tata Consultancy Services.

Technical Outlook:

The Sensex has formed a bullish engulfing pattern on the daily chart, indicating a potential trend reversal.

The index has breached its immediate resistance level of 61,000 and closed above it, which is a positive sign.

The Relative Strength Index (RSI) and Moving Average Convergence Divergence (MACD) indicators are both trending upwards, further supporting the bullish momentum.

Key Support and Resistance Levels:

• Immediate support: 60,700
• Strong support: 60,000
• Immediate resistance: 61,500
• Strong resistance: 62,000

Trading Strategy:

Traders should consider buying the Sensex at current levels, with a stop loss below the support level of 60,700.

They can target a move towards the resistance level of 61,500.

Alternatively, traders can wait for a break above the strong resistance level of 62,000 before entering long positions.

Conclusion:

The technical analysis of the Sensex suggests that the market is currently in a bullish trend.

Traders should watch for a break above the strong resistance level of 62,000 for confirmation of the uptrend.

Disclaimer: This analysis is for informational purposes only and should not be taken as investment advice.