8-Hour Analysis:
Big Picture: The make or break ranges reacted, leading towards a breakout over daily. A flip above 39100 lead to much stronger rally over the weekend. The rally looks strong and could further continue to extend the gains. However consolidation and re-test based price action is likely to be seen for a couple of days now. Moreover there is potential Head and Shoulder formation being printed over Higher Time Frame Charts. Keeping this in view a re-test followed by consolidation period for a few days is important for the completion of this formation.
On Upside 43300 level is likely to cap the upside for the day & trigger aggressive profit taking. However keeping in view the strength in price further extension on the upside cannot be ruled out. Next insight upside targets are likely to be seen around 44500 followed by 45400.
On the Downside 41700 is seen as the first support for the day followed by 40500 level. However a break below 40500 will open further extensive re-test zones around 39500 and 37900. Momentum Indicators below daily are burnt out and in need of a cool-down. Another CME Gap has been formed at 40500 level and 90% of times these gaps are filled.
