Comments
The Nifty 50 futures contract opened the day with a wide 38-point gap-down. Though the contract has managed to reverse higher from the day's low of 10,835, the bounce-back move seems to be lacking in strength. The contract is reversing lower again from 10,872 and is currently trading at 10,860. This leaves the near-term bias negative. Immediate support is at 10,845. A break below it can take the index futures lower to 10,820 or 10,810.
If the index futures manage to bounce from the 10,820-10,810 support zone, an up-move to 10,850 and 10,900 is possible again. But a strong break below 10,810 will then increase the likelihood of the contract extending its down-move to 10,780.
Traders can stay out of the market until a clear trend emerges.
Strategy: Stay out of the market.
Supports: 10,845, 10,810
Resistances: 10,885, 10,900
Comments
COMMENT NOW
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.