Nifty Views for 25 Feb, 2009

Nifty opened gap down on tuesday above its support zone of 2680. It held that support and bounced back from those levels to lose well above 2700.

2675-2680 is acting as a strong support for Nifty now. A close below these levels seems highly unlikely before expiry unless there is an event triggering stock market collapse all over the world. Positional Traders should look to go long whenever Nifty falls to these levels with stops placed below 2660.

On Wednesday, 25 Feb, 2009, Nifty is expected to open positive in line with good global cues. It faces immediate resistance at 2750-2755 levels. One can go long if Nifty is able to sustain above these levels for a target of 2785-2800. More positive news is expected to follow and some short covering can be seen in later half of the day.

Nifty Resistance at 2755-2785-2805-2830. Support at 2730-2705-2690