The RSI is oversold on both the timeframes, so a bounce cannot

Mar 7, 2020

Sellers took full control of the index. Nifty broke below a weekly trendline that was supporting the prices right from 2017. Selling was intense during the week. The daily RSI has moved to 26 levels while weekly RSI is close to 35 levels. The RSI is oversold on both the timeframes, so a bounce cannot be ruled out. The extent of the pullback will decide the further course. Nifty is expected to meet resistance at 11440 & 11740, shorts can be created at the levels considering the price action. On the downside nifty may drift to 10600 & 9800 levels in the weeks to come.