Nifty will be out of the woods only if it crosses and closes beyond 7842. It's a critical upside resistance that can cap or stall a market rally.
Once it does that, it could face another hurdle at 7938
The range between 7842 and 7938 is important for bullish consolidation.
If Nifty can decisively break both levels then there's very little stopping it from reaching 8000+ levels.
But if those levels fail, then we can see a correction to a mean range between 7535 to 7547
If that mean range fails then we can see a downside selloff till 6593
The bottom for this market has widened from 6760 to 6590
Topside is between 7840 and 7940