Nifty recorded an intra-week low at 3715 on Tuesday. But there was a sharp rebound from here and the index closed the week within our medium-term range between 3800 and 4500.
Technical indicators, however, signal that this support could be breached in the short-term and the index could decline to 3715 or 3636 in the week ahead. Failure to move above 4070 in the early part of the week will fortify this assumption.
The medium-term view too is currently negative and the target of the move from 4649 gives us the downward targets at 3778 and then 3454. If the down move continues next week, the second target would be in reckoning.
RSI-2
