2-Hour Analysis:
Big Picture: After hitting support levels, the volatility index improved, resulting in a better trading environment. Although the price has not yet broken through the range, it did created better swings inside it, as previously mentioned. Trading volumes have improved slightly, but significant improvement is likely once the range breaks. The price remains within the region of 31,400 to 29,800. Strength to the upside leads to a bullish breakout, whereas a lower breakdown leads to a deeper corrective pull-back.
On the Upside after breaking above the 20,450 resistance level, there was a rapid push towards the higher levels, most likely due to aggressive short-covering. Furthermore, it almost tested the resistance zone but fell just short of a perfect test. The resistance levels for the session are at 30,800 level, followed by 31,200 to 31,450.
On the Downside the levels at 20,450 and 20,250 are intended to serve as minor intra-day supports. However, the session’s important supports remain unchanged at 30,000 to 29,800 levels. As long as this zone holds, the sellers’ downward extension remains uncertain. Furthermore, the 2-hourly EMA-200 retains a good support for the session, almost coinciding with the supporting range.
