29 Nov - Nifty View

Nifty opened above the range of Inside Day formed on Friday, and continued its upward journey to close near the highs of the day near the resistance level of 4860. In Yesterday's Nifty View, it was written the fresh Positional Trade can be taken above 4770 Spot for targets of 4860+. That trade is already near the target level. Now,consider the trend to be up till Nifty Stays above 4770 Spot. Upward resistance levels to watch out and probable profit booking zones are 4905 and 4960. The larger trend still remains down, but no point in trying to guess the Tops and Bottoms. Ride the upmove as long as it lasts. If and when it breaks the support zone, exit the longs and Go Short. Till then, stop worrying and enjoy the profits.

The Nifty Option Open Interest charts are given below:


The Bears were already reluctant to add OI early in this series, and today, the started covering at lower strikes, giving confidence to the Bulls. The Bulls on the other hand, seem to be very confident of holding the supports in this series. They have already piled up nearly 70 lacs OI at 4500 PE and 4700 PE strikes. The narrow range as per the Options Charts is from 4700 to 5000 as of now. 4800 is a minor support, while 4900 is a minor resistance. Looking at the reluctance of both Bulls and Bears to add OI at 4900 PE and 4900 CE strikes, it seems like Nifty will spend some time around this level before making the next decisive move.

For tomorrow, immediate resistance for Nifty Spot now comes at 4860 level. If gaps up above this or moves above this in intraday, then next resistances comes at 4900/ 4930 and 4960 levels. On the downside, support for Nifty Spot comes at 4820/4815 levels. If slides below these levels, then today's breakout level of 4770 can be tested again. Below 4770, once again the Bears can push Nifty below 4700 levels.

29 Nov - Nifty Spot resistance at 4860-4890-4905-4930. Support at 4820-4790-4770-4745 - www.niftypower.com

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