Comments
Nifty 50 September futures (11,451)
The domestic benchmark indices - the Sensex and the Nifty 50 - started the session on flat note despite positive Asian markets. The Nikkei 225 has climbed 0.7 per cent to 23,406 and the Hang Seng index has rallied 0.5 per cent to 24,444 levels in today's session.
But the US markets ended in the negative last session, the Dow has slumped 1.5 per cent to 27,534 and the S&P 500 has tumbled 1.7 per cent to 3,339 levels.
Both the Sensex and the Nifty 50 are trading flat in today's session. However, the market breadth of the Nifty 50 is biased towards declines. The volatility index - India VIX - has slipped 1.4 per cent to 20.9 levels. That said, the Nifty mid and small-cap indices have climbed 0.4 per cent and 0.2 per cent, respectively.
Selling interest has been witnessed in the Nifty PVT Bank and Nifty Bank indices, which have declined 0.5 per cent and 0.4 per cent respectively. The defensive sectors, Nifty IT and FMCG, are experiencing buying interest and have advanced 1.3 per cent and 0.4 per cent, respectively.
The Nifty 50 September month contract commenced the session with a gap-down open at 11,430. After an initial rally, the contract marked an intra-day high at 11,487 and started to decline from the high. The contract has an immediate support at 11,425. Traders should tread with caution as long as the contract is range-bound between 11,425 and 11,475.
Can consider initiating fresh short positions on a fall below 11,425, with a fixed stop-loss. In that case, the contract can test support at 11,400. A further fall below this base can drag the contract down to 11,380 and then to 11,350 levels. Vital resistances above 11,475 are at 11,500 and 11,525.
Strategy: Tread with caution as the contract is range-bound
Supports: 11,425 and 11,400
Resistances: 11,475 and 11,500
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.