On Daily charts, we observe that a new channel trendline has been adjusted after previous week’s rally and a new bandwidth line between the lower and upper bound has been redrawn too. Last week rally is breakout above bandwidth resistance ( Support point now: 19,042) which will act as a first support moving next week.
On higher levels we can see a rally upto 19,317 which is the channel resistance point, although less likely on grounds that Weekly charts show rally to ATHs has been on a declining volume and rising prices since last week of May 2023, indicative of weak price action and definitely after breaching a psychological resistance we expect a profit booking from current levels. So outlook is to watch till 19,317 but expect profit booking simultaneously.
Lower levels stay intact at 19,042 as first resistance which is centre/bandwidth point of channel and a breach below this point will push the index to 18,896 undoubtedly. There’s a consolidation between 18,734 – 18,896 which we expect to hold index in case of further drawdown.