14 Feb: Nifty View

On Friday, 5170-5150 was the support level that was given in the Nifty View, from where we were expecting a bounce. The actual low made by Nifty was 5177. On the upside, resistance given was 5245 Spot, above which targets were 5310-5330. Nifty made a high of 5319 above 5245.`Once again, those who had followed and traded at the levels, making money would not have been difficult.

Now, on Friday, Nifty has conquered and closed two very important levels of 5245 and 5280. Till these levels are held, the relief rally from oversold levels would continue. On the upside, strong resistance now comes at 5335-5340 level. If Nifty manages to cross these, there will be more upsides.

The options Open Interest table is given below:


The data shows addition of 5200 CE while covering at 5300 CE and above calls by the Bears. Addition in 5200 CE is the odd figure. These could be the calls which were added during the morning downmove and not covered by end of day. The Bulls added Puts at 5300 PE and below strikes, while covering was seen in 5400 PE and above strikes. From the Options table, 5300 and 5400 seems to be the battleground zone. 5200 is a minor support and 5500 and above are the strong resistances. The Options table as of now suggests a downmove before any further upsides. Either the Bears will have to cover their positions or a downmove in the market will resolve this confusion in the options table.

For tomorrow, immediate and strong resistance for Nifty Spot comes at 5340-5345 Spot. If Nifty spot opens below and is able to conquer this level during intraday movement, it will move towards 5370-5395 levels. On the downside, support for Nifty Spot comes at 5280 levels. Below this, it will slide towards 5245-5220 and 5195 levels. For the Bulls to have any hopes alive now, they will have to defend the level of 5245 Spot. Below this, the Bears will gather more strength.

14 Feb: Nifty spot resistance at 5340-5360-5390-5425. Support at 5280-5245-5220-5195 - www.niftypower.com

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