NIFTY DAILY CHART

After having opened positive, the Nifty continued to inch higher and extended the gains during the day, Firm global cues led the pull back rally. It ended the day the day 128 points, or 2.77 %, higher at 4,765.30.  We stated, if the high of the candle (4,650), it may test 4710 and 4,740 (20-day EMA).  On the daily charts, it ended in long bullish candle, suggesting optimism among traders. However, on hourly charts, RSI is approaching the overbought territory. Also, on daily charts, RSI is paced at 49 marks. Hence, intraday correction from current levels cannot be ruled out. During the next trading session, 4,715 and 4,680 could act as support levels for the day. On the flips side, 4,800 and 4,820 are the resistance levels.