Wkly Tech Analysis: Bulls continue to hold advantage

The Sensex rallied to a fresh 30-month high this week, before settling with a gain of 276 points at 18,144. The bulls continued to hold the advantage. More of stock-specific action was seen while broader indices traded in a narrow band.

Daily charts indicate support for the Sensex around 18,020, while weekly charts see resistance around 18,415.

Tata Motors and Wipro were the major gainers this week, up over 5.5 per cent at Rs 894 and Rs 434, respectively. ICICI Bank, Bharti Airtel, SBI, HDFC, TCS, ITC, BHEL and Infosys were up three-five per cent each. Reliance Communications, however, shed three per cent at Rs 173. Mahindra & Mahindra, Cipla and HDFC Bank were the other prominent losers.

The NSE Nifty moved in a range of 136 points. The index touched a high of 5,487 and a low of 5,351. The Nifty finally settled with a gain of 72 points at 5,439.

The Nifty has been taking support at 5,350 for the last four weeks. The support has now moved higher to 5,400. In case the Nifty fails to hold the 5,400-mark, it is very likely to break past 5,350 as well. The short-term (20-days) moving average for the Nifty is at 5,410, and the medium-term (50-days) moving average is at 5285.