The Nifty 50 index turned marginally in the red on Tuesday after failing to break out of the key resistance hurdle at 15,780, which is the 127 percent Fibonacci extension level of the previous corrective wave.
The index continues to form a hanging man candlestick pattern after the current long swing high at the key resistance of 15,780-15,800, which suggests that the uptrend is losing momentum and failure to break out of this resistance could lead to a correction in the coming sessions. ..
On the downside, immediate support is placed at 15,670. A break below this support level could lead to a correction towards the 15,600-15,550 level. However, a successful breakout from the 15,780-15,800 resistance area will extend the uptrend, taking the index towards the 15,870 level.
The RSI has also turned south from the group of previous resistance peaks, which suggests a weak uptrend.
The Dow Jones Industrial Average fell 13.47 points, or 0.04%, to 34,616.77, the S&P 500 rose 0.46 points, or 0.01%, to 4,226.98 and the Nasdaq Composite rose 25.61 points, or 0.18%, to 13,907.33.
The S&P 500 posted 51 new 52-week highs and a new low; The Nasdaq Composite posted 149 new highs and 11 new lows.