14 November - Nifty View

On Friday, Nifty opened down on negative global cues, but did not break its important support of 5150, and closed above its breakout level of 5170. The immediate trend remains down as long as Nifty is trading below 5260. However, bigger moves will come only if and when it breaks and closes below 5150. Those in Positional Shorts can now maintain a Stop and Reverse above 5260. Intraday traders can trade the range of 5150/5180 to 5230/5260 till we get a breakout from this zone.

The Nifty option Open Interest charts are given below:

The Nifty options Open Interest Charts became a more bearishly inclined on Friday, with the bears adding more than 15 lacs+ OI at 5200 CE strike. The Bulls on the other hand, covered OI at almost all the ITM strikes. The broad range for this month remains to be 5000 to 5400. 5200 has now become a clear battlezone level between the Bulls and the Bears. 5100 is a support level, while 5300 is a resistance level.

For tomorrow, immediate resistance for nifty Spot comes at 5200 and 5230 levels. Above 5230, it will head for next resistance zone of 5250/5260. Intraday traders can try aggressive shorts in the 5230/5260 zone, with a 20 point stoploss. On the downside, support for Nifty Spot comes at 5170/5150 zone. Below 5150, Bears will again take over, and lead Nifty below 5100 level.

14 Nov - Nifty Spot resistance at 5200-5230-5260-5295. Support at 5170-5145-5130-5085 - www.niftypower.com

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