The market extended losses for the second straight day on May 12, dented by weak global cues.
The optimism created after the Tuesday upside recovery has been negated on Wednesday and Nifty closed below the low of previous candle at 14,771,” Nagaraj Shetti, Technical Research Analyst at HDFC Securities told Moneycontrol.
“There is a possibility of some more weakness in the coming sessions and we expect the recent swing low of 14,416 could be protected and the market could bounce from the lows in short term.
According to pivot charts, the key support levels for the Nifty are placed at 14,622.8, followed by 14,549.1.
The important pivot level, which will act as crucial support for the index, is placed at 32,287.16, followed by 32,122.03.
A decline in open interest, along with a decrease in price, mostly indicates a long unwinding.
An increase in open interest, along with a decrease in price, mostly indicates a build-up of short positions.
A decrease in open interest, along with an increase in price, mostly indicates a short-covering.