Tech view: Bulls' failure hints at weaker selling bias

After a brief play in the positive zone, the markets succumbed to selling pressure as energy prices spiked higher to raise the spectre of inflation.
 
The market breadth was negative as the combined breadth of the Bombay Stock Exchange and the National Stock Exchange was 1255:2593.

The capitalisation of the breadth was also negative on a commensurate basis as the figures were Rs 2603 crore: Rs 15122 crore.

The markets have closed at the lower end of the intra-day range on steady volumes — indicating a bull failure. The 4195/3975 range advocated for Wednesday held, as the Nifty spot bounced from the specified support.

The coming session is likely to witness a range from 4095 to 3885. A consistent trade below the 4035-level will see the bears pressing for sales. The market internals indicate a steady turnover as participation levels stagnated due to the volatility.

The number of trades increased and the average ticket size was lower, indicating a weaker selling bias. The capitalisation of the market was lower in line with a downtick session. Avoid big ticket trades for now.