2 weeks ago

Sensex Up 114 Points as Profit Booking Continues at Highs

Sensex Up 114 Points as Profit Booking Continues at Highs
Daily charts form a small bearish candle · thehansindia.com

Imagine a big market where people buy and sell small pieces of companies, called the stock market.

In Mumbai, India, one of the most famous markets is called the Sensex.

Today, the Sensex went up a little bit, by 114 points.

But some people who own stocks decided to sell some to take their profits, which is called profit booking.

Different parts of the market did different things.

Companies that make defense equipment did very well and went up 1.58 percent.

Companies that work with metals went down by 1 percent, which was the biggest drop.

A chart expert named Shrikant Chouhan from Kotak Securities says the market is near an important support line called the 20-day average.

If the market stays above this line, it could climb to around 78,500 to 78,700.

But if it drops below 77,700, more people might sell and it could fall to 77,200.

Key facts

Sensex change
+114 points
Best performing sector
Defense index (+1.58%)
Worst performing sector
Metal index (-1%)
Technical support
20-day Simple Moving Average (SMA)
Chart pattern
Small bearish candle (indecisiveness)
Upside target
78,500-78,700 if support holds
Downside levels
77,700; falling below could lead to 77,400-77,200
Source analyst
Shrikant Chouhan, Head - Equity Research, Kotak Securities

Quotes

Shrikant Chouhan

Head – Equity Research, Kotak Securities

“"We believe that the market has completed one leg of correction and is currently trading near an important support zone of the 20-day SMA."”
thehansindia.com

Sources

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