Day trading guide by ICICI Direct

The index did not witness follow-up downward momentum beyond the panic bottom of 6869 and recovered to close inside the lower band of the major falling channel in place since March 2015.

Oversold conditions on momentum indicators and improvement in key market internals have turned the immediate bias positive. A decisive close above recent breakdown area of 7240 will provide further impetus for bulls to extend current pullback towards 7550-7600 in the near term.