If we look at the daily chart development of nifty spot we can observe many thing here.
we can see that nifty has taken a support on its demand trend line in last two session, so this indicated the reversal in market.
when RSI moved below support line market not able to move below its support line, so this indicated that PRICE can drag the RSI again into the overbought zone, so this is one more possibilities of trend reversal from here.
if we look into the candlestick pattern we can observe many things here, just two days back it has given a “BULLISH HARAMI” candlestick pattern on chart with the HARAMI candle as a “HAMMER”. so its kind of dual confirmation of reversal which took place at trendline support level.
also it has given a reversal signal with “ISLAND CLUSTER REVERSAL” and this ISLAND also has form a two bullish reversal candlestick patterns as i mention above.
only thing to watch is i have drawn a yellow line on chart which is shows that nifty is having resistance at 5950-60 level, so once it able to cross this resistance we can see it touching the recent high level, which is near 6150 level.
one more thing we can say is its kind of ” ASCENDING TRIANGLE” development on chart which can also indicate that nifty will try to touch the 6150-6250 range, and if able to stay above 6250 range for 2-3 trading session then we can possible see triangle breakout on upper levels.
so with all this study finally we can say that market still having support range at 5700-5750 range, so if able to give two negative close below this levels, then only we are going to see some fall or i can say correction in market, till the time, market is ready to take every support which can take the levels till breakout point and next decision is to taken at that point itself.