Nifty needs to top and hold 8,550 to confirm bottom

The price action of Nifty against the 8,550 level will be very crucial to watch out for in Thursday's session. For the market to mark a temporary bottom near 7,850, it will need to move past and stay above 8,550. If the market remains in the 7,850-8,550 zone, it will invite fresh volatility and face more downside. Volatility Index or India VIX, cooled off by 7.16 per cent to the 77.63 level.

On Thursday,26th March session, the market is expected to make a tepid start, with 8,415 and 8,550 levels acting as strong resistance. Support may come in at 8,200 and 8,115. 

As per pattern analysis, Nifty is attempting to confirm a temporary bottom near the 7,850 level despite short-term violations in the past. It would be crucial to see how Nifty deals with the 8,550 mark, which is the upper area of the broadly defined consolidation zone.

Experts recommend traders to exercise patience and do not create heavy exposures unless a temporary bottom is confirmed. A cautious approach is advised for the day by the experts.