Amid volatility, Nifty managed to end the passing month with gains and reclaimed psychological mark of 8400.
Initially, it upheld negative bias and slipped below the psychological mark of 8000 as it breached support zone of long term average of 200 EMA on the daily chart. But, existence of support and oversold position triggered gradually recovery from thereon, which aided index end in green.
Despite last month’s rebound in index, we reiterate our negative view on Nifty for June month as it failed to decisively close above the resistance hurdle of 8500. Though we have psychological support at 8000 but major downside cushion exists around 7850. So, traders are advised to be with the market trend and prefer counters from Metal, Realty and PSU banks space for short trades.