The Nifty 50 and the Sensex began the session with a gap-down open, taking negative cues from the global markets. The Dow Jones and S&P 500 index had declined 1.4 per cent and 0.87 per cent, respectively, in the past trading session. Asian markets are mixed; the Nikkei 225 has tumbled 1.6 per cent to 28,147, while Hang Seng index has climbed 0.4 per cent to 28,118 levels in today's session.

Although the Sensex and the Nifty 50 are recovering from the intraday low, they continue to feature in the negative territory. The Sensex and the Nifty 50 have declined 0.7 per cent and 0.57 per cent, respectively. The advance/decline ratio of the Nifty 50 is biased towards decline. There is an increase in volatility as the India VIX has advanced to 20.22 levels, gaining 1.9 per cent. The Nifty mid- and small-cap indices are marginally hovering in the positive territory.

The Nifty 50 May month contract started the session with a gap-down open at 14,842 and this level is the intraday high. The contract declined and recorded an intraday low at 14,706 and began to recover. The contract currently trades at around 14,781 levels. It now faces a key resistance at 14,800. A strong rally above this level can extend the rally higher to 14,825 and then to 14,845 levels. Key support at 14,740 can cushion the contract. But a fall below this level can pull it lower to 14720 and next support is at 14,700 levels.

Strategy: Key resistance ahead. Go long above 14,800 with a stiff stop-loss

Supports: 14,740 and 14,720

Resistances: 14,800 and 14,825

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