Daily Chart II
One more resistance , 5786, crossed and one more high for the rally at 5838 . But nervousness which was not seen at the 5600 and 5700 levels was visible today at the 5800 levels which was crossed easily but found sharp selling from the highs. The fall was small a support was found at 5775 , to close positive by 35 points.
The rise from the 5349 levels of around 500 points has been sharp. To add to the feeling of nervousness due to the sharp small falls was the breadth which was extremely negative. Volumes were high with declining volumes exceeding advancing volumes. Daily Oscillators have reached the overbought zone.
Good support exists at 5744 shown on chart II. The 3 DSMA is at 5731.The uptrendline from 5349 gives support at 5716. Thus the Nifty has a good cushion around the 5715-5750 levels. This could be a good stop loss level for existing positional longs.
Resistance at 5815-5838-5850-5872.
Happy Trading !!