The markets continued to stay tentative over the past five days while continuing to trade with a weak undertone. The Nifty digested the reaction to the US election outcome. There were two days of a strong technical rebound; this was sold into subsequently which kept Nifty in a broadly defined range. The trading range was wider; the Nifty oscillated in a 721-point range. Volatility cooled off; the India VIX declined by 6.95% to 14.47 through the week. Following a ranged trade with a weak underlying bias, the headline index closed with a net weekly loss of (-156.15) points or (-0.64%). The markets are not out of the woods as yet from a technical perspective. The Nifty has violated the 20-week MA which currently stands at 24775. This level also coincides with an extended trendline which initially acted as a support but now acts as a resistance. Below this point, there…
