Technical Analysis

Nifty Call: Buy the contract in dips with a stop-loss at 11,010

Yoganand D, BL Research Bureau | Updated on July 13, 2018 Published on July 13, 2018

Nifty 50 July Futures (11,033)

Global cues are bullish. The US markets closed with 0.9 per cent gain in the last session. Asian indices were also featuring in the positive territory. The Nikkei 225 jumped 409 points or 1.8 per cent to 22,597 and the Hang Seng index surged marginally, up by 0.3 per cent to 28,553 in today's session.

The Nifty and the Sensex began the session in the green, taking cues from global markets. However, after initial gains, the benchmark indices began experience selling interest and started to move sideways.

The Nifty July month futures contract started the session with a wide gap-up open at 11,048. But, after marking an intra-day high at 11,056, the contract began to decline witnessing selling pressure.

The contract recorded an intra-day low at 10,993 and found support at 11,000. As long as the contract trades above this key support level at 11,000, the near term stance remains bullish.

Traders can make use of intra-day dips to buy the contract with a stop-loss at 11,010. Key resistances are at 11,050 and 11,070. A strong rally beyond 11,070 can take the stock higher to 11,100.

Strategy: Buy the contract in dips with a stop-loss at 11,010

Supports: 11,015 and 11,000

Resistances: 11,050 and 11,070

Published on July 13, 2018
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