Nifty Nears 23,800 Resistance; IT Eyes US Polls

Pre-open cues are mildly negative, with GIFT Nifty down around 70 points. The US midterm results are coming in, with the Democrats reported to be leading. Yesterday Nifty continued its upmove, went above 23,590, came close to 23,750 and ended near 23,730. The index is now inside the 23,760-23,640 pivot cluster, just below a strong resistance at 23,800. That level was the breakdown point on 4 September, after which the index saw a sharp fall. After a few strong sessions, some consolidation or profit booking is possible. A move above 23,800 would bring 23,920 and 24,030 into view. If the resistance holds and the index slips below 23,640, the first support is 23,585 and then the rising window support near 23,350. The first half-hour of trade will be important, and 23,800 is the level to focus on. US election outcomes can influence technology stocks, so large-cap IT names such as

, Infosys, HCLTech, Wipro and Tech Mahindra are worth observing for their reaction. After a sharp rally, a former breakdown level often acts as resistance; watching how price reacts there helps judge whether the move continues or pauses. Disclaimer: This is for educational purposes only and is not investment advice. Please consult your financial advisor before making any investment decisions. SEBI Registered Research Analyst — INH000025212.