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Trends on SGX Nifty indicate a positive opening for the broader index in India, a rise of 53.5 points or 0.5 percent. Nifty futures were trading around 10,751-level on the Singaporean Exchange.

Traders Take Note: Nifty breaches key support level that held 7 times in 2017

The movement of the index for the next few days will be important for traders. The Moving Average Convergence and Divergence, popularly known as MACD, gave a 'sell' signal on the daily charts for the first time since February, 2017.

Tech View: Nifty50 forms a 'hammer-like' pattern; buy on dips for a target of 9,218

Formation of a hammer type pattern after a bearish belt hold in the previous session is a positive sign for investors. It suggests that market is attempting to determine a bottom.

Tech View: Profit booking flattens Nifty; intraday chart shows bearish candle

Overall, the index has been making higher top and higher bottom formation while the supports are shifting higher from 9,075 to 9,119 on an immediate basis which is giving confidence to the bulls.

Tech View: Nifty50 forms a strong bull candle on daily charts; keep a stop at 9075

Investors should remain on the long side as Nifty50 made a strong bull candle on the daily candlestick charts. Investors can keep a strict stop loss below 9,075 on a closing basis for all long positions.

Tech View: Nifty eyes US Fed outcome, forms ‘doji’ for second day in a row

There is another important pattern which traders should not overlook which is ‘inside bar’ or insider candle. Inside bar is a two-candlestick pattern in which the inside bar is smaller or within the range of prior bar.