23 Nov - Nifty View

On Tuesday, Nifty opened near 4800, and traded with volatility between 4780 to 4855, before closing near to the opening level again. Today was a weak attempt by the Bulls and they just managed to close Nifty above 4800 level. The weakening rupee is a cause of concern being advertised on all media right now, and any intervention by the RBI might be the trigger for taking Nifty to above 4900 levels now. Any rally towards 4900+ levels will now be good to start building Positional Shorts with Stoploss above 5000. The impulsive downmove started when Nifty broke down below 5000, and short term trend should be considered Down as long as Nifty is trading below 5000 now. This should also be the final stoploss for Shorts built up from 4930/4960 levels.

The Nifty Option Open Interest charts are given below:

Just two days before Expiry, it is good to see some profit booking by Both the Bulls and the Bears. There was a small addition at 4700 PE strike of 4 lacs+ OI, but it is insignificant now, so close to the expiry. Looking at the option Charts, it seems that the major move for this series might have been done already, and nothing spectacular should be expectd from the last to days. The range is 4700 to 5000 as of now.

For tomorrow, immediate resistance for Nifty Spot comes near 4830/4835 levels. Sustaining above this, the intraday trend will remain positive, and NIfty should attempt higher levels resistances of 4860 and even 4900+ levels. On the downside, support for Nifty Spot comes at 4785/4780 levels. If breaks and sustains below this, then a test and break of 4700 on Expiry will be on the cards, with minor supports at 4760 and 4720 levels.

23 Nov - Nifty Spot resistance at 4830-4860-4885-4915. Support at 4780-4760-4720-4675 - www.niftypower.com

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