Nifty opened on a weak note at around 5276 levels and slide down further towards 5215 levels. However Nifty managed to recover on the last day and ended the session at 5342 with a positive close above 5300 mark.
In our previous Technical reflection we had highlighted negative diversions Nifty RSI and expected price correction up to 5250 level. Nifty opened gap down and tested the expected support of 5260/50 levels. In line with our expectation it witnessed a pull-back from those levels to close the week at 5342.
Nifty has filled the gap of 5220-5260 levels on daily charts (3rd & 6th Aug.) last week.
Going forward, in short to mid-term Index will remain under pressure. We expect Nifty to consolidate between 5250-5390 levels for some time before any further decisive move. Holding above 5390 a fresh up move can be expected towards 5480-5500. While on the lower end 5200/5180 will remain a vital level to watch.