Nifty 50 February Futures (14,960) The positive global cues have helped the domestic equity indices - Sensex and Nifty 50 to extend their on-going rally and open the session with a gap-up. The Nikkei 225 has advanced 1.5 per cent to 28,779 and Hang Seng index has climbed 0.86 per cent to 29,365 levels in today's session.

Both Sensex and Nifty have continued to trend upwards after an initial decline and have gained about 0.4 per cent each. The market breadth of the Nifty 50 is at break-even without any bias. The volatility index the India VIX has jumped 2.3 per cent to 23.6 levels.

The Nifty mid and small-cap indices are mixed. The Nifty mid cap index has declined 0.4 per cent while the small-cap index has advanced 0.6 per cent so far. Among the sectoral indices, the Nifty PSU Bank index is top gainer that has jumped 5.4 per cent boosting the Nifty bank index to gain 1.89 per cent. Selling interest is seen in the Nifty Auto, IT and media sectoral indices that are hovering in the negative territory.

The Nifty February month contract began the session with a gap-up opening at 14,949. After marking an intraday low at 14,866 the contract continued to trend upwards breaching a key resistance at 18,900. It has registered an intraday high at 15,008 levels. The near-term outlook will stay positive as long as the contract trades above 14,900 levels. Traders can make use of dips to buy with a fixed stop-loss at 14,900 levels. A strong rally above 15,000 can take the contract higher 15,025 and then to 15,050. Supports below 14,900 are at 14,870 and 14,840.

Strategy: Outlook remains positive above 14,900 levels. Go long with a fixed stop-loss

Supports: 14,900 and 14,870

Resistances: 15,000 and 15,025

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