Comments
Nifty 50 January Futures (18,113)
Sensex and Nifty 50 are trading lower. The sell-off in the US markets on Wednesday is weighing on the benchmark indices. Both the Sensex and Nifty 50 are down about 0.45 per cent each. Sensex is trading at 60,769 and Nifty at 18,084.
Important support for the day is at 18,050-18,000 for the Nifty. If it manages to sustain above 18,000, it can oscillate between 18,000 and 18,200 for some time and then can see a fresh rise breaking above 18,200.
Nifty will come under pressure again only if it declines below 18,000. In that case, the index can fall back to 17,900-17,800.
Preference is to see the Nifty sustaining above 18,000 and rise above 18,200 eventually in the coming days.
Global cues
Asian markets are trading mixed. Nikkei 225 (26,399) and Hang Seng (21,672) are down 1.45 and 0.03 per cent respectively. On the other hand, Shanghai Composite (3,228) and Kospi (2,376) are up 0.13 and 0.30 per cent respectively.
In the US, the Dow Jones Industrial Average (33,296) had tumbled 1.8 per cent on Wednesday. This has increased the chances to see more fall towards 32,800-32,500 in the near-term. Thereafter, the overall upmove can resume.
Also read: Top 10 chemical stocks: Then versus now
Nifty 50 January Futures
The Nifty 50 January Future (18,113) is down 0.47 per cent. Immediate support is at 18,070 which is holding well for now. The contract made a low of 18,080 and has bounced back. It will have to be seen if this bounce sustains or not. A break below 18,070 can drag it down to 18,000.
Immediate resistance is at 18,120 and 18,140. Only a strong break above 18,140 will give some relief for the contact. Such a break can take the Nifty 50 January Futures contract up to 18,200-18,220 and even higher.
Trading strategy
Go long on a break above 18,140. Keep the stop-loss at 18,110. Trail the stop-loss up to 18,160 when the contract moves up to 18,185. Move the stop-loss further up to 18,190 when the contract touches 18,205. Book profits at 18,215
Supports: 18,070, 18,000
Resistances: 18,140, 18,220
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.