Nifty Extends Gains but Struggles Near 26,000 Resistance

Nifty continued to scale higher amidst choppy movement on Tuesday and closed the day higher by 67 points. After opening on a positive note, the market was not able to sustain the highs and later shifted into a range bound action for better part of the session. Nifty faced stiff resistance around 26000 levels which is a mid part of long red candle of 3rd Feb and closed the day off the highs.

A small red candle was formed on the daily chart with minor upper and lower shadow. Technically, this market action signals a formation of high wave type candle pattern, which echoes minor volatility in the market at the highs.

The underlying trend of Nifty continues to be positive amidst range bound movement. A decisive move above the resistance of 26000 levels could open more upside towards 26350 levels in the near term. Immediate support is placed at 25800.