Nifty - Gap turned into Resistance 10300-10150

4 jun 2020

NIFTY

As expected, Nifty has given breakout over the past 4 trading sessions, from the ascending triangle formation.
Gaps tend to act as support/resistance, and the gap area of 10300-10150 which Nifty formed during the crash behaved in the same manner.
Any Gap-Up market open above the region or candle close above the same would be bullish and could give rise to another bullish move as in that case the gap would turn into support.

We may see retrace and a few re-tests of the zone before the resistance is broken.
I am currently very short term bearish (as i am expecting a retrace) but medium term bullish (unless negative news hits or global markets turn negative)

Contrarian view - Global markets like Nasdaq, US30 (Dow Jones Futures), SPX seem to be positive and our markets may follow them. Thus, we may not see much retrace and/or move past resistance in a single attempt.

Daily RSI
Nifty - 68 - Leaning Bullish

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8 jun 2020

Nota

Nifty saw a sell off from the top of the gap zone!