Nifty’s Eight-Day Slump: Is a Reversal Brewing at 22,800?

● Last week proved to be a challenging period for the Nifty, as the index experienced a sharp decline of over 2.5%, extending its losing streak to eight consecutive trading sessions.
● A key support level to watch is at 22,800, which could act as a crucial floor for the index.
● This level gains further significance as Open Interest (OI) data reveals a substantial buildup of put writers at the 22,800 strike price, reinforcing the potential support zone.
● Market participants will closely monitor whether the index manages to hold above this level or breaches it in the coming sessions.
● Adding to the intrigue, a bullish RSI divergence has emerged, hinting at the possibility of a trend reversal in the near term.