The Sensex and the Nifty 50 began the session marginally in the positive territory and moved sideways vacillating between positive and negative territory. The Asian markets are mixed - the Nikkei 225 has fallen almost 1 per cent to 28,003 while the Hang Seng index is up by 0.2 per cent to 28,054 levels. The Sensex and the Nifty 50 are marginally down by 0.12 per cent and 0.08 per cent respectively. The market breadth of the Nifty 50 is biased towards advances. India VIX has fallen 1.8 per cent to 12.0 levels indicating decrease in volatility. The Nifty mid and small-cap indices are featuring in the green, up by 0.36 per cent and 0.76 per cent respectively. Among the sectoral indices, the Nifty IT is down by 1.2 per cent followed by Nifty Bank which has declined 0.46 per cent. On the other hand, the Nifty pharma is up by 1.3 per cent and metal index has climbed 0.75 per cent.

The July month contract began the session with a gap-down open at 15,911. After an initial up-move, the contract marked an intra-day high at 15,970 and started to decline. The contract has a key support at 15,900 levels. As long as the contract trades above this base level the near-term stance is positive for the contract. Traders can buy on dips with a stop-loss at 15,890 levels. A strong rally above the immediate resistance level of 15,950 can take the contract higher to 15,970 and then to 16,000 levels. Key supports below 15,900 are placed at 15,860 and 15,840 levels.

Strategy: Buy the contract on dips with a stop-loss at 15,890 levels

Supports: 15,900 and 15,860

Resistances : 15,950 and 15,70

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