Nifty call: Go long on a strong rally beyond 9,150 level with a stop-loss at 9,140 level

After a positive open at 9,117, the Nifty futures contract fell and recorded an intra-day low at 9,099 level.

Asian markets are broadly positive. Nikkei 225 gained almost 1 per cent and CSI 300 index added 0.7 per cent.

Taking support at 9,100, the Nifty futures contract continued its upmove by breaching its immediate resistance at 9,130. It marked an intra-day high at 9,146 level.

However, the contract is facing difficulty in surpassing the key resistance level of 9,150. It is moving sideways. The market breadth in Nifty 50 index is biased towards advances.

Traders with a short-term perspective should tread with caution as long as the contract trades below 9,150 level.

Strong break above this resistance will reinforce bullish momentum and take the index higher to 9,170 and 9,190 level in the near term. Such a rally will be a positive cue for initiating fresh long positions with a stop-loss at 9,140 level.

However, on the downside if the contract slips below the immediate support level of 9,130, selling pressure may be seen and it can decline to 9,110 or 9,100 level. Further plunge below 9,100 could strengthen the selling pressure and pull the contract down to 9,080 and 9,060 level.

Strategy: Go long on a strong rally beyond 9,150 level with a stop-loss at 9,140 level

Supports : 9,130 and 9,110

Resistances : 9,150 and 9,170

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