Support- 16350-16400
Resistance- 16800
The big event day has passed with positivity. Powell clearly said US is not in recession because labor market is strong and demand in some space is still intact. Results from companies are not showing slowdown in economy. Further, commodities price have fallen which is the reason Powell indicated that large rate hike probably would stop after September meeting depending on data. Now next focus will be on RBI MPC meeting next week.
On technical chart, 16350-16400 is strong support area where buying is recommended. On higher side, profit booking can be expected after gap up opening. If Nifty opens near given resistance then go for sell with strict stop loss above 16820. Today is monthly expiry day too so trade with caution.
PCR is 1.24 and FIIs position again has reached to 45% from 36%. SO there is less space for stellar upside move
