- On the daily chart divergence in RSI for highs of Dec-2019 and Jan-2020 indicated weakness in the up move within the channel.
- Index has broken out of channel in last few days with both daily and weekly RSI now below 50 indicating weakness.
- Index expected to continue its move back towards 7700 in next 5-6 months where the HnS pattern would complete.
- Support can be expected at 8000-8050 followed by 7800 and 7700.
- On completion of HnS pattern next support can be expected at 7400, 7000 & 6800.
- On the upside resistance can be expected at 8400-8450 followed by 8600, 8860 & 9090.
