Nifty continued its winning streak for the sixth consecutive day on August 30 as it surged 226 points to close at a new high at 16,931.

The intermediate uptrend remains bullish as the benchmark index continues to make higher tops and higher bottoms over the last several months.

Nifty has been trading above the 20 and 50-day exponential moving average which gives further evidence of an uptrend.

With intermediate and long-term momentum readings like the 14-week and 14-month RSI in rising mode and not showing any signs of negative divergence, we expect the uptrend to continue.

The slope of the daily ADX for Nifty is rising which indicates the index could continue its momentum in the medium term.

In the options segment, we have seen Put writing at 16,400-16,500 levels. During the last correction, Nifty has found support at 16,376 and bounced back.

This level coincides with the 20-day exponential moving average which is currently placed at 16,450.

Therefore, we believe that the short-term trend will remain intact till Nifty is trading above 16,400.

While we remain open to further upsides, a short-term trend reversal would be confirmed only if the Nifty closes below 16,400.

The immediate target for the Nifty is around 17,000-17,100 level at which we have seen Call writing.

Far resistance is seen around 17,500.

Bank Nifty has broken out on the daily chart by surpassing the previous resistance of 36,169 to close at a five-month high.

Bank Nifty is expected to move towards the next target of 36,800 and 37,500 levels in the coming weeks.

Correction in the mid and smallcap space is over and they are likely to outperform the benchmark index from hereon.

Private banks, PSU banks, NBFC and metal space should be on the radar for getting higher returns in the coming days.