After enjoying a 150-point rally at the beginning of the week, Indian equity indices entered into a consolidation zone. Nifty
, however, did manage to close the week above 10,900-levels and also held above its rising trendline support zone, which is a positive development. For a fresh breakout, Nifty has to break past the 10,925-10,950 resistance zone, beyond which, the index could make a dash towards the 11,150-11,200-zone. The important support level for Nifty is 10,700 at present.
, on the other hand, underperformed during the week. For the positive momentum to resume, the index has to surpass the resistance zone of 27,800. On the downside, 27,300 is the immediate support for Bank Nifty.
Option chain data indicates that Nifty continues to face resistance at the 11,000-mark with 11000CE having the highest open interest buildup of ~36 lakh shares. Support on the downside is seen at 10,700 followed by 10,500.