Nifty started the truncated week on a positive note and tested 6850 levels but profit booking at higher levels in the recently run up stocks kept the gains in check and the nifty closed almost flat for the week.

The 30 share S&P BSE Sensex closed marginally higher at 22688.07 up by 59 points or 0.26% while the NSE Nifty settled at 6782.75, up by 3 points or 0.05%.

Amid Nifty constituents, Axis Bank, Bank of Baroda, Bharti Airtel, BHEL, Dr. Reddy, Larsen & Toubro, Lupin, State Bank of India and Mahindra & Mahindra were top gainers while ACC, Cairn India, DLF, Hindustan Unilever, NTPC, Asian Paints, Wipro and Ultratech Cement were top draggers.

Nifty, on the weekly time frame, has formed a Doji candle with a long upper shadow which resembles a shooting star candlestick pattern highlighting stiff resistance near 6850 levels being the upper band of the major up-trending channel in place since December 2011.

The index on the short term continued to consolidate in the range of 6650-6850 for fourth week in a row.

Nifty on the higher side a sustained closing above the resistance level of 6850 would put the index on course for an extended target of 7000 levels in the near term being equality of preceding up leg as projected from Monday’s lows of 6650.

In coming week, the intermediate bias may remain positive above 6650 being the 38.2% retracement of the last rising leg from 6432 to 6819 and base of the recent consolidation. Only a sustained close below 6650 would lead to a cool-off in the upward momentum.