10 Oct - Nifty View

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The Bulls made a comeback on Friday, with a huge Gap Up open. The day, however, ended lower than the open. Currently, nifty is poised in the middle of a broad range of 500 points, from 4700 to 5200. Till it is between these levels, it is a Trader's Market. Within the range, important levels have been identified and trading should continue with these levels in mind. Gradually, it will become too predictable within the range, and then will be the time for a breakout/ breakdown from the range. Till then, keep trading with the levels.

The Nifty option Open Interest charts are given below:

The important levels to watch the action on the Options front are from 4800 to 5000. here, we see addition of 13 lacs+ OI at 4800 PE and 4900 PE by the Bulls. The Bears covered approx. 4.5 lacs at 4800 CE. Hence, 4800 is the level to watch in case of any slide next week. Other than that, there is no significant activity at the ITM strikes. 5000 is a minor resistance area on the way up, and 4800 and below are the support areas. 4900 is the battlezone level between the Bulls and the Bears as of now.

For tomorrow, immediate resistance for Nifty Spot comes at 4910/4930 range. Till it stays below these levels, the Bears will try to push it down. Above this, we may see some panic short covering for higher levels of 4970-5005 levels. On the downside, support fro Nifty Spot comes at 4890 levels. Below this, intraday slide towards 4860-4830/4825 may be seen. As we are in the middle of the range, be quick to reverse positions, in case a trade goes wrong.

10 Oct - Nifty Spot resistance at 4910-4930-4970-5005. Support at 4890-4860-4830-4770 - www.niftypower.com

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