Nifty:25790.25/106.95/0.42%;Candle:OGD;Hammer green; Bank Nifty:59450.5/198.95/0.34% Candle:OGD;Hammer green ; HB:OGD;Doji;936;RIL:OF;Doji;1484;TCS:OGD;Short day green;3243;
Market wrap up(DWM,T,N,E):The Nifty 50 snapped its five-day losing streak and logged gains of four-tenths of a percent on January 12, supported by strong buying interest at lower levels and tracking favourable remarks on a trade deal by the US Ambassador. The formation of a Piercing Line pattern raised hopes for a continuation of the uptrend; however, momentum indicators still need to align with the bulls for a sustained market uptrend. If the index extends its gains, the 25,950–26,000 zone will be the key resistance to watch, as a decisive rally above this level could strengthen the bulls’ position. Until then, consolidation with range-bound trade may continue, with immediate support placed at 25,600, experts said. The Nifty 50 formed a bullish candle with a long lower shadow on the daily charts, indicating strong buying interest at lower levels. The pattern also resembles a Piercing Line–type formation, a bullish reversal pattern, but it requires confirmation in the following session. The 100-day EMA acted as support for another session; however, the index continued to trade below the 20-day and 50-day EMAs, as well as the midline of the Bollinger Bands. The RSI rose to 42.84 but remained well below the signal line, while the MACD maintained a bearish crossover with a further decline in the histogram. All these indicators suggest that while short-term buying interest has emerged, the broader momentum remains weak and calls for caution. The Bank Nifty also formed a Nifty-like candlestick pattern on the daily timeframe with above-average volumes, while defending support trendlines on a closing basis. The index reclaimed the midline of the Bollinger Bands but continued to trade below short-term moving averages. The RSI inched higher to 51.4, though it remained below the reference line. The MACD stayed bearish with a further decline in the histogram, while the Stochastic RSI slipped below the 20 mark. All these indicators suggest a mixed-to-cautious setup, with limited confirmation of a sustainable upside.
