Comments
Nifty 50 February Futures (11,688)
The Sensex and Nifty began the session on a flat note and turned volatile. The Asian markets are displaying mixed cues; the Nikkei 225 has tumbled 1 per cent to 22,971 while Hang Seng index is marginally hovering in the positive territory at 26,351. After an initial rally, the Sensex and Nifty started to decline witnessing selling pressure at higher levels. The market breadth of the Nifty is biased towards advances. The India VIX has slumped 5.3 per cent to 15.94 levels.
Witnessing buying interest, the Nifty mid-cap index has advanced 1.3 per cent whereas Nifty small-cap is trading in red, down by 0.2 per cent. The Nifty PSU Bank and IT are the two sectors trading in negative territory, declined 1.9 per cent and 1.3 per cent respectively. The Nifty realty index gained 1.4 per cent.
After a gap-down open at 11,598 the Nifty February month contract started to recovered. But recording an intra-day high at 11,747 the contract began to experience selling pressure and dropped below 11,700 levels. Currently, the contract is moving sideways in the band between 11,650 and 11,700. Traders should tread with caution as long as the contract moves in this band. Fresh long positions can be initiated on a strong rally above 11,700 levels with a fixed stop-loss at 11,685. The contract can test resistances at 11,725 and 11,750 levels. On the downside, a plunge below 11,650 can drag the contract down to 11,630 and then to 11,600 levels. In that case, avoid taking fresh long positions.
Strategy: Take fresh long positions only on a strong rally above 11,700 with a stop-loss at 11,685 levels
Supports: 11,650 and 11,630
Resistances: 11,700 and 11,725
Comments
COMMENT NOW
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.