Nifty 50 November Futures (17,991)
BSE Sensex and NSE Nifty have opened the week on a positive note, tracking positive cues from the US market that ended on a high note on Friday. Sensex was trading at 60,534, up 0.95 per cent, while Nifty at 17,952 was up 0.93 per cent at the time of filing this report.
Nifty has risen above a key level of 17,800 and can now test 18,100—the next crucial resistance to watch. A strong rise past 18,100 will be very bullish and can take the index to further higher levels this week.
Global cues
In Asia, barring the Shanghai Composite (2,914.95, down 0.03 per cent), all major indices are up sharply. Nikkei 225 (27,519.69) is up 1.5 per cent. Hang Seng (15,008) and Kospi (2,290.67) are up 0.79 and 0.98 per cent, respectively.
In the US, the Dow Jones Industrial Average (32,861.8) had surged 2.6 per cent on Friday. The index rallied to 32,800 much faster than expected. The Dow has an important resistance at current levels and at 33,400. There are chances to see a corrective fall this week. We will have to wait and watch.
Nifty 50 Futures
The Nifty 50 November Futures (17,991) is up 0.90 per cent. The outlook is bullish. Support is at 17,930-17,920 and then at 17,890. Any intermediate dips are likely to be limited. We see high chances for a further rise to 18,130 and even 18,200 in the coming sessions.
Trading strategy
Traders can go long now and accumulate on dips at 17,940. Keep the stop-loss at 17,880. Trail the stop-loss up to 18,010 as soon as the contract moves up to 18,060. Move the stop-loss further up to 18,070 when the contract touches 18,095 on the upside. Book profits at 18,130.
Supports: 17,920, 17,890
Resistances: 18,130, 18,200
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.