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Occurrence of an ‘Inside Bar’ formation near the multiple reversal pattern support zone is a good sign of a firm base around 16800-17000 zone. The recent fall lacked volumes while momentum oscillators have started displaying signs of reversal in the offing. Daily RSI trending below 50 but a positive convergence around its breakout zone is a strong sign of developing trend strength while ADX on the other hand has been trending lower with –ve DI falling below trigger line (Sign of cool off of corrective wave). Option data indicates strong major bounds placed at 17000-17500 for the week. Technically a close from hereon only below 16800 may derail the bullish sentiment & the recent fresh builtup of bullish momentum while a breakout above 17660 would amplify it. With shorter degree indicators now turning in favour of the bulls; its ideal to retain buy on declines strategy across various timeframes with a momentum stop below 16930 & a trend stop below 16780 WCLBs (Weekly closing ). Aggressive longs to be deployed once confidently trending above 17660 for fresh life high expectations.

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