Tech View: Thursday trading strategy: Nifty's short-term trend is poor; a breakout above 23,350 could lead to an upside bounce.

The lower tops and bottoms pattern is still there, and the Nifty's short-term trend is still weak. A possible new lower top is in line with the recent pullback, awaiting confirmation. The upside may be strengthened with a clear rise above 23,300–23,350, while 23,050 is a crucial support level. These pivotal levels for market direction are highlighted by HDFC Securities' Nagaraj Shetti.A little red candle was formed on the daily chart of Nifty on Wednesday, with minor upper and lower shadows. This market behavior usually suggests a turbulent movement in the market with a favorable bias.

The current retreat may coincide with the pattern's new lower top, and the negative chart pattern, which includes lower tops and bottoms, is still there. However, confirmation of the lower top reversal is required at the highs. The Nifty's short-term trend remains weak. A steady rise above the 23,300–23,350 resistance levels would reinforce the market's upward rebound. According to HDFC Securities' Nagaraj Shetti, 23,050 will be a vital support for the market at the lows.

There has been a significant selling of AU SFB from higher levels. There may be indications of a reversal from lower levels as the stock is stabilizing close to important support zones. If the upward trend continues, this consolidation phase suggests that a breakout may occur.The stock is about to break out of this zone of consolidation. It may be able to rise higher, aiming for 650, if AUBANK is able to hold onto its position above 600. Improved technical indications, such as the RSI at 56.07, which is heading upward and showing strength, reinforce this optimistic perspective.AUBANK has recently surpassed its short-term (20-day) and medium-term (50-day) EMAs, further reinforcing the bullish sentiment. If the stock continues to gain strength, it could bounce higher and attempt to retest its long-term (200-day) EMA, suggesting further upward potential.