Big Picture: As the New Year’s celebrations came to an end, the activity level returned to normal. Bulls were able to force a bullish breakthrough on the converging triangle formation and are now pushing for substantial upside. The price appears to be going for the Channel and Range-Top resistance levels. However, bulls are now in the lead.
On the Upside primary resistance exists between 45,900 and 46,100. Above them, there are some small obstacles at 46,350, but major resistances appear between 46,730 to 48,240 levels. This area will see strong congestions. Furthermore, there are additional intra-day resistances within this zone at 47,050 and 47,530.
On the Downside Several levels have now been successfully transitioned into support levels. The principal supports are located at 45,050 levels. However, stronger supports can be now be seen at 44,400 and 44,200 levels. These are the price’s breakout support levels. Any re-test into this zone will result in significant buying interests.