Mr. Nagaraj Shetti, Technical Research Analyst, HDFC Securities
After showing a smart upside recovery from the lows on Monday, Nifty shifted into a sustainable upside amidst a range movement on Tuesday and closed the day higher by 119 points. After opening with a positive note, the market continued its gradual upside momentum amidst a range movement, that continued for the whole session.
A small positive candle was formed on the daily chart with gap up opening. Nifty is currently placed at the crucial overhead resistance of around 17150-17200 levels and the market is now showing signs of upside breakout of the hurdle.
The lower bottom reversal seems to have confirmed at Monday's low of 16828 levels and one may expect further upside in the short term towards the lower top formation. A decisive move above the hurdle of 17200 levels is likely to bring sharp upside momentum for the Nifty in the near term. Immediate support is at 16950 levels.