Analysis: Sensex showed indecision on friday with a candle inside last day's candle. support is at friday' low 15368, 15208 which is Thursday' low, as well as Thursday's gap. The resistance is at 15545, If these support holds sensex has target of 15709-15740 as mentioned in earlier analysis. The 5 days oscillator is still at overbought condition which may indicate profit booking at higher level. If sensex crosses 15970 by tomorrow, it will indicate faster retracement of last wave.
On medium term if we join March low with 13220, it almost coincides with last week low of 14700. It forms an important medium trndline and sensex has to obey this trendline to move up. Medium term shows a bow tie corrective diametric shape on sensex daily chart from election rally, which has 7 lags i.e. expanding triangle in first half and contrating shape in second half. The sensex is within the range of 13k to 16k for past almost 4 months and it requires a huge buying to go past 16k. Very short term sensex may show some upside, but as and when it approaches to 16k bulls would have to be very careful.
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