Bulls pushed markets to an all time high close…Will it sustain ?

Nifty made a strong up move last week with a gain of 4.9% and closed the week above 6300 levels at an all time high close of 6312.

Pattern-wise bulls have established a strong upperhand after a consolidation of around 4 weeks in the range of 6000 to 6200 levels.
The build up in options data is increasing steadily with increase seen in both near strike puts and calls. 6500 calls and 6000 puts are ruling above 60 lakhs of OI.
The PCR value is 1.38 which is favouring the bulls to a good extent for another rally and implied volatility in near out of the money calls has reduced when compared to puts which again favours bulls to some extent.
The extrapolated target level for Nifty is 6366 and it is likely that markets can test the level in the near term. There might also be another strong up move beyond that based on how the options data turn out to be.
Resistance levels : 6335, 6366, 6421

Support levels : 6284, 6203, 6151

-Happy Trading

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