16 Sep: Nifty View

Nifty opened gap up today, slid down to make a low of 4967, and broke out in the afternoon to clear its resistance zone of 5030, and closed near the highs of next resistance level of 5080. Tomorrow is an important news day, with RBI rate hike decision coming. Based on the where Nifty closes tomorrow, short term trend can be decided. Important levels to look out for are 5030, 4990 and 4960 on the downside, and 5120-5180 and 5230 on the upside.

The Nifty option Open Interest charts are given below:

It was once again a day for the Bulls today. The Bears more or less stayed away today, apart from covering of OI at 5200 CE strike. The Bulls added 12 lacs+ OI at 5000 PE and 5100 PE strikes. The range as per the Option Charts is 4900 to 5200. 5000 is a minor support, while 5100 is a minor support. Breakout above 5100 or below 5000 would give tradeable moves now.

For tomorrow, immediate resistance for Nifty Spot comes at 5080/5085 level. Staying above this, it will enter into next resistance zone of 5120-5150 and 5180. On the downside, support for Nifty Spot now comes at 5030/5035 levels. Below this, further slide towards 4995/5000 and 4980 will be seen. Tomorrow, let the news pass by, and then trade as per the levels in the direction of the trend.

16 Sep: Nifty Spot resistance at 5085-5120-5150-5180. Support at 5030-4995-4980-4960 - www.niftypower.com

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