Nifty 50 (19,265) opened today’s session with a gap-up at 19,241 versus yesterday’s closing level of 19,133.25. It has inched up after opening and is now up 0.7 per cent post the first hour of trade.

The advance/decline ratio of Nifty 50 stands at 43/7, showing a positive bias. Also, all mid- and small-cap indices have gone up and the volatility has dropped.

Besides, all sectors have advanced so far today led by Nifty Media, up 1.5 per cent, followed by Nifty Realty, up 1.2 per cent.

Not just the domestic market, the equity market across Asia appears bullish today. Among the majors, ASX 200 (6,970), Hang Seng (17,570) and KOSPI (2,365) have appreciated between 1 and 1.9 per cent.

Nifty 50 futures

The November futures contract of Nifty 50 opened today’s session higher at 19,340 as against Thursday’s close of 19,238.85. It is currently trading at 19,330, up 0.5 per cent.

Note that the contract has a resistance at 19,350. If this level is breached, it will open the door for another leg of uptrend. Notably, Nifty futures will be out of the bear grip if it closes above 19,350 today, which will increase the odds of a rally next week.

Today, if 19,350 is decisively breached, it could see a rally to 19,480 today. On the other hand, if the contract falls from the current level, it can find support at 19,280 and 19,150.

Trading strategy

Wait for Nifty futures to decisively break out of 19,350 and then initiate intraday buys. Target and stop-loss can be at 19,480 and 19,280 respectively.

Supports: 19,280 and 19,150

Resistance: 19,350 and 19,500

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