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The Nifty has maintained its lower top lower bottom formation on the daily charts, however, it has managed to sustain above the 17,000 mark consistently for the last three sessions and formed a reversal candle pattern like Piercing Line and Hammer candle pattern on the daily charts, indicating some kind of bottoming out for the short to medium term.

The RSI (relative strength index) indicator on lower timeframes has placed below 40 mark, however, it is showing price momentum divergence.

The Nifty has resistance at 17,450 and 17,776 levels, whereas the support lies at 16,836 mark.

The index shows initial signs of bottoming out near the 17,000 mark and could give a pullback towards 17,450-17,776 levels. On the flip side, if the index breaks below 16,836, then it can move lower towards 16,600–16,410 levels.