Technical Analysis

The Nifty call: Go short on a bounce at 9,885 with stop-loss at 9,905

Gurumurthy K BL Research Bureau | Updated on January 08, 2018 Published on October 03, 2017


Nifty 50 Oct futures (9,874)

The Nifty 50 futures contract is trading on a mixed note. Though the contract opened with a wide 95-point gap-up, it failed to sustain at those levels. It fell sharply from the day's high of 9,896 and has bounced back after making a low of 9,842. This bounce-back move lacks strength. Key resistance is in the 9,890-9,900 zone. Only a strong break above 9,900 will increase the likelihood of the rally extending to 9,940. But as long as the index futures remain below 9,900, a fall to 9,840 or 9,820 cannot be ruled out.

Traders with high risk appetite can go short on a bounce at 9,885. Stop-loss can be placed at 9,905 for the target of 9,845. Revise the stop-loss lower to 9,875 as soon as the contract moves down to 9,860.

Strategy: Go short on a bounce at 9,885 with a stop-loss at 9,905

Supports: 9,840, 9,8320

Resistances: 9,900, 9,940

Follow us on Telegram, Facebook, Twitter, Instagram, YouTube and Linkedin. You can also download our Android App or IOS App.

Published on October 03, 2017
This article is closed for comments.
Please Email the Editor