IGI Logo

Nifty

Nifty again saw buying interest near its immediate support zone. It retained its close within its previous day’s trading range which is an ‘Inside Bar’ formation on its daily scale. Index still continues to oscillate within its immediate range of 21800–21500. According to options data, the Nifty 50 is expected to retain its support at 21500-21400 zone while it may face immediate resistance at 21,800, and a break through there could push the index above 22,000. It is therefore best to maintain the trailing stop higher below 21390 (below 20- DEMA) on closing basis for any new additions in long positions, as it is too soon to assume any significant loss of momentum or change in trend. The strategy stays in place until there is a reversal pattern or the index consistently closes below the swing support range of its previous day's low. Redeploying leverage longs is optimal once above 21840. While the major trend stop level at 20980 remains intact, any declines, if any, could be used to add longs with a trailing stop level of 21330 until broken on a closing basis.

Please refer disclaimer at https://www.tradebulls.in/disclaimer

SEBI Registration number is INZ000171838