Nifty’s outlook for March 3, 2023: Go long now, and at 17,580

Nifty 50 March Futures (17,605)

Nifty 50 and Sensex has risen back sharply and are trading strong today. The downside pressure is getting eased. The strong rise in the Dow Jones Industrial Average overnight has aided the Indian benchmark indices to move up well today. Both the Sensex and Nifty 50 are up over a per cent. Nifty is at 17,512 and Sensex 59,543.

Nifty has risen well above 17,400. If this momentum sustains, it can rise further to 17,600-17,700 in the coming sessions. Indeed a strong close of around 17,500 today would be a good sign to see a follow-through rise next week.

Global indices

In Asia, all the major indices are trading in green. Nikkei 225 (27,920) is 1.5 per cent. Shanghai Composite (3,316), Kospi (2,430) and Hang Seng (20,575) are all up in the range of 0.15-0.7 per cent.

In the US, the Dow Jones (33,003.57) was up 1.05 per cent on Thursday. It is important to see if it is getting a strong follow-through rise from here or not. A further rise from here can take it higher to 33,500-33,700 next.

Nifty 50 Futures

The Nifty 50 March Futures (17,605) is up 1.18 per cent. It has risen past the key intraday resistance level of 17,570. If it manages to sustain above 17,570, a further rise to 17,630-17,650 and even 17,700 can be seen in the coming sessions.

Trading Strategy

Traders can go long now and accumulate on dips at 17,580. Keep the stop-loss at 17,545. Trail the stop-loss up to 17,625 as soon as the contract moves up to 17,645. Move the stop-loss further to 17,655 when the contract touches 17,670. Exit the longs at 17,680.

Supports: 17,570, 17,500

Resistances: 17,650, 17,700

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