Nifty call: Go long on dips at 9,855

Nifty 50 Aug Futures (9,865)

The Nifty 50 futures contract is trading on a mixed note. The contract is stuck in a narrow range between 9,850 and 9,880. The bias on the chart is bullish.

There is a strong likelihood of the contract breaking above 9,880. Such a break can take the index futures higher to 9,900. Further break above 9,900 will see the upmove extending to 9,930. Inability to break above 9,900 can pull the contract lower to 9,880 and 9,850 once again.

Short-term traders can make use of dips to go long at 9,855. Stop-loss can be placed at 9,835 for the target of 9,895. Revise the stop-loss higher to 9,865 as soon as the contract moves up to 9,875.

Key intraday support is in between 9,850 and 9,840. The contract will come under pressure only if it declines below 9,840. Such a fall can take it lower to 9,800.

Strategy: Go long on dips at 9,855

Supports: 9,840, 9,800

Resistances: 9,880, 9,900