Happy New Year 2012 to All Readers!

30 Dec - Nifty View

Nifty opened below the zone of 4690-4720 today, briefly moved into the range during intraday, making a high near 4700 levels, before crashing in late market action to its next support of 4640. Short trades have been triggered today and should now have a stoploss (and Reverse) above 4720 on closing basis. Till Nifty does not give a close above 4720/ 4760 now, consider the trend as Down and Sell on Rallies. Believe in all moves of the market, even if it gives several whipsaws. Because seeing beyond the prices unfolding on the screen is something which is not possible in this market. There are no Fortune Tellers in the market, and Fortune Tellers seldom know the reality. Money can only be made here by religiously "Following" the prices and becoming a Student of the Market.

The Nifty option OI Charts are given below:


As we enter into a new series, the broad range forming as per the Options Charts is 4500 to 5000. The Bears have added maximum OI at 4700 CE strike today, and this level almost has equal OI in Calls and Puts. Hence, this level will again be important in the January Series, and also coincides with the level of 4720 given above. 4600 is also forming as a minor support for Nifty.

For tomorrow, immediate resistance for Nifty Spot comes at 4665/4670. Above this, it will head for its next resistance level of 4690. The zone of 4690 to 4720 is a No trading Zone as of now. Stay short below 4690 and reverse to Longs only above 4720/4725. On the downside, support for Nifty Spot comes at todays lows of 4635/4640. Below this, the Bears will have an upper hand and will try to push Nifty towards lower levels of 4610, 4585 and 4550 levels.

30 Dec - Nifty Spot resistance at 4665-4690-4720-4755, Support at 4635-4610-4585-4550 - www.niftypower.com

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29 Dec - Nifty View

On Wednesday, Nifty almost threatened to give a breakdown below 4690 Spot, but the Bulls just about managed to save it for another day, and Nifty closed just above the important level of 4700. However, it did break and close below 4720, which was another good support level. On Wednesday, Nifty traded within a 30 point range of 4690 to 4720 for most part of the day. A breakout/ breakdown from this narrow range would be the first indication of bigger moves ahead. The next trades are simple. Long above 4720 and Short below 4690. In between, its better to just sit and watch from the sidelines.

The Nifty option OI Charts are given below:

One day before the Expiry, the Bears added good quantity of 16 lacs+ OI at 4700 CE and 4800 CE strikes. The Bulls covered a huge amount of 26 lacs+ at Put Options of same strikes. The day clearly belonged to the Bears, and the Expiry seems to be going their way also. 4700 is the battlezone level for tomorrow, and as Nifty closed right at that level, a move above the 4720 would be considered positive, and a move below 4690 would be considered negative.

For tomorrow, immediate resistance for Nifty Spot comes at 4720/4725 levels. Trading above this, it will head for next strong resistance of 4760 and then 4800. On the downside, support for Nifty Spot comes at 4690/4685 levels. Below this, the recent support of 4640 is expected to be tested. Break of 4640 can bring some panic selling in the Nifty.

29 Dec - Nifty Spot resistance at 4720-4760-4800-4820. Support at 4685-4660-4635-4600 - www.niftypower.com

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27 Dec - Nifty View

On Monday, Nifty traded rangebound for most part of the day, except for the initial bog move from its support levels of 4720/4730. The Volumes were extremely low today, because of the Holiday Seasons, and hence the rangebound movement was on expected lines. The Longs that were created at 4730 are in good profits now, and Positional traders can safeguard their profits by moving the Stoploss near the lows of today on closing basis. The trend should be considered to be positive till Nifty is closing above 4700. Hence, Shorts can be opened only if and when Nifty gives a close below 4690. Till then, stay with the trend.

The Nifty option OI Charts are given below:

On such a dull day, there was a surprise addition of 28 lacs+ OI at 4700 PE and 4800 PE strikes by the Bulls. Such a big amount of OI addition, in the expiry week, is always a cause of concern. Because such additions in the expiry week always show overconfidence from one camp, this time the Bulls. If they are right, there can be a big move on the upside, but if they are wrong and panic over the next two days, there can be an equally big move on the downside. Either way, an Option Straddle can be bought to take advantage of the impending move coming. From the Bears, there was very little addition today. Infact, they covered a good amount of 16 lacs+ OI at 4600 CE and 4700 CE strikes. Overall, from the Options Charts, 4700 has become a minor support now, while 4800 is a minor resistance. 4600 to 4900 is the range.

For tomorrow, immediate resistance for Nifty Spot comes at 4790/4800 levels, above which it will head for 4850+ levels. Tomorrow, as long as it stays above 4780/4790 levels, consider the trend as up and Buy on Dips. On the downside, support for Nifty Spot comes at 4765/4770 levels, Below this, next important levels for Nifty Spot comes at 4730/4735 levels. Below 4730, Bears will become active again, and try to push Nifty towards 4690 levels, which would be a short term trend deciding level now.

27 Dec - Nifty Spot resistance at 4790-4810-4850-4875. Support at 4765-4735-4690-4640 - www.niftypower.com

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26 Dec - Nifty View

Nifty had a dull day on Friday, when, after opening near its strong resistance resistance zone of 4750/4760,it could not sustain the gains, and fell under its own weight to below 4700 levels, but regained later to close above 4700. Till the time it maintains 4700 on closing basis, we will assume that this rally will continue and long trades will be preferred over short trades. If it closes below 4700/4690, then the Longs have to be reversed and converted to shorts. As of now, 4690 on the downside and 4760 on the upside are the levels to watch, for a fresh directional move.

The Nifty option OI Charts are given below:

On such a rangebound day, there was a good amount of activity from the Bears. They added a good amount of 15 lacs+ OI at 4800 CE and 4900 CE strikes. The Bulls on the other hand, added a small amount at 4600 PE and 4700 PE strikes, while covered a small amount at 4800 PE strike. Overall, going into the expiry week, 4600 to 4900 is the range for Nifty. 4700 is the battlezone level, while 4800 is a minor resistance.

For tomorrow, immediate resistance for Nifty Spot comes at 4730 and then the strong resistance zone at 4755/4760. The Bulls will have to do something special to cross this zone. Above this zone, Nifty Spot will target 4795/4800 levels. On the downside, support for Nifty Spot comes at 4680/4690 levels. If this level breaks, Bears will have an upper hand, and Nifty will slide further towards 4635/4610 levels. As given earlier, 4690 to 4760 is the trading range. Trade this range till Nifty gives a confirmed breakout/ breakdown.

26 Dec - Nifty Spot resistance at 4730-4760-4795-4810. Support at 4685-4660-4635-4610 - www.niftypower.com

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Merry Christmas to All Readers!!

23 Dec - Nifty View

In Yesterday's Nifty View, 4630/4640 was given as the intraday trend deciding level, and to Buy on dips till this level is supported. Incidentally, Nifty made a low of 4632 today, and then staged a 100 point rally, to close near the strong resistance level of 4730. For positional traders, a close above 4730 was given as the stoploss for Positional Shorts, which was taken today. Hence, Positional traders should be in Longs now, as long as Nifty is giving a close above 4700. On a close below 4700, once again the Long trade can be reversed to shorts. Hence, it is going to be busy time for Traders tomorrow, as the closing of tomorrow will be very crucial for deciding the next move in Nifty.

The Nifty option OI Charts are given below:


There was some action at the level of 4800 today, with both, the Bulls and the Bears adding decent amount of OI at this level. Apart from this, there was not much action at other strikes worth noticing. From the Options Charts, 4600 is now emerging as a support for this Expiry. 4700 and 4800, both are the battlezone levels as of now, and Nifty can trade with much volatility between these levels. 4900 and above are the major resistances.

For tomorrow, immediate strong resistance for Nifty Spot comes at 4755/4760 levels. If it manages to stay above this, it will target 4795/4800 levels, where again the Bears are expected to show up and try to drive Nifty down. On the downside, support for Nifty Spot comes around 4685/4690 levels. Staying below this, Nifty can again slide down towards, 4660 and 4630 levels. Below 4630, the Bears will again try to drive Nifty towards its recent lows.

23 Dec - Nifty Spot resistance at 4755-4800-4840-4870. Support at 4700-4685-4660-4630 - www.niftypower.com

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22 Dec - Nifty View

Nifty opened Gap Up today, due to positive global cues, traded rangebound during the day, and made a dramatic run upwards towards the end of the day, to close near 4700 levels. After the big sell off of yesterday, such a V shape recovery looked impossible till yesterday. But nothing is impossible in this market, and as traders, one must only follow the prices and nothing else. Nifty is at a very important juncture now. This might be a golden opportunity to create Positional Shorts with a tight stoploss of 4730 Spot. If Nifty manages to clear 4730 Spot, the immediate short term downtrend can be considered to be over, and we can see a recovery upto 4850/4920 levels before expiry. Hence, traders can Reverse their short trades if Nifty is able to close above 4730 tomorrow. Else, hold on to those shorts.

The Nifty option OI Charts are given below:


After the big sell-off of yesterday, the Bears had gained some confidence and big quantity of OI in Call Options. However, all that confidence was wiped out today, as the Bears covered more than 46 lacs+ OI between 4500 CE to 4800 CE strikes. The Bulls added nearly 10 lacs OI at 4600 PE strike, but apart from that, there was not much action from them. The Options Charts have also changed slight colors today. 4600 has now become a minor resistance, while 4900 is the resistance. In between, 4700 and 4800 are the battlezone levels between the Bulls and the Bears.

For tomorrow, immediate resistance for Nifty Spot comes at 4720/4730 zone. Above 4730, this upmove started today is expcted to continue for higher levels of 4755/4760 levels, where again, it will face fierce resistance from the Bears. Above 4760, 4795/4800 levels will be the target for longs. On the downside, immediate support for Nifty Spot comes at 4670 and below that, at 4640/4635 levels. The intraday trend for tomorrow should be considered positive till Nifty stays above 4635 Spot now, and any dips can be utilized to Buy with a Stop and Reverse of 4635 Nifty Spot.

22 Dec - Nifty Spot resistance at 4725-4760-4795-4820. Support at 4670-4635-4600-4570 - www.niftypower.com

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21 Dec - Nifty View

On Tuesday, Nifty had a dramatic sell-off, after making an intraday high near its strong resistance zone of 4630/4640. It closed just near its recent support level of 4550, after making an intraday low near 4530 levels. The trend remains down and todays high of 4630/4640 would be an important resistance level, going forward. Above this, the next major resistance comes more than 100 points up at 4760. Hence, on any technical bounce from here on, given the oversold nature of RSI and Stochastics, Positional Shorts can be built with Stop and Reverse above 4760 Spot. Above 4760, this correction would be considered to be over for the time being, and levels of 4920 can be tested on Positional basis.

The Nifty option OI Charts are given below:

It was Bears Day out today, who finally decided to add some OI at various strike levels. A huge 37 lacs+ OI was added by the Bears between 4500 CE to 4800 CE strikes. On the other hand, the Bulls covered nearly 13 lacs OI at 4600 PE and 4700 PE strikes. After today's addition, the support level as per the Option Charts remains at 4500, although it has been weakened today. Resistances for nifty comes at 4800 and above level, which corresponds to 4760 given earlier. In between, 4600 and 4700 are the 50:50 levels, and Nifty can give wild swings like today near between these levels, as both Bulls and Bears fight for supremacy near these levels.

For tomorrow, immediate resistance for Nifty Spot comes at 4570 and then at 4595/4600 levels. If manages to cross these, then once again, the strong resistance zone of 4635/4640 will be tested. Above 4640, there can be a mini breakout, and Nifty can reach 4700+ levels, where again the Bears will become active. On the downside, support for Nifty Spot comes at todays low of 4530 levels. Below this, there is no major support till 4450/4440 zone, and it remains to be seen, where Nifty will find support, if it falls below 4530.

21 Dec - Nifty Spot resistance at 4570-4600-4640-4675. Support at 4530-4485-4460-4440 - www.niftypower.com

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20 Dec - Nifty View

In Yesterday's Nifty View, 4630 was given as the support, below which, 4550 was the next support given. Nifty traded between these levels, making an intraday low of 4555 and high of 4623, before closing near 4605 levels. The trend remains firmly down and traders should look to build short positions on all rises till Nifty does not a give a close above 4760. On the downside, today's low near 4550 remains a support area, as Nifty has not formed any good support between the 4550 to 4630 range. It will be better if it consolidates a little within this range, to form some clear support/ resistances, before giving the next big move.

The Nifty option OI Charts are given below:


From the Options Charts, the one strike that stands out is the big amount of 16 lacs+ covering at 4700 PE by the Bulls. These guys have clearly panicked and the OI at 4700 PE has reduced from over 90 lacs+ to just above 50 lacs+ as of today. The only fact in favor of the Bulls is that the Bears are also not building up OI aggressively. This has made the levels of 4600, 4700 and 4800, three levels as the 50:50 levels. Support level is at 4500, while 4900 and above are the major resistances.

For tomorrow, immediate resistance for Nifty Spot comes at 4625/4630 levels. Staying above this, it will head for higher level resistances of 4655/4660. Above 4660, short covering can take it to 4700+ levels, where again, the Bears will become active. On the downside, support for Nifty Spot comes at 4580 levels, below which, today's low of 4550/4555 is the nest support level. Below 4550, Bears will force another round of selling for sub 4500 levels.

20 Dec - Nifty Spot resistance at 4630-4660-4695-4730. Support at 4585-4550-4520-4480 - www.niftypower.com

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19 Dec - Nifty View

On Friday, Nifty opened Gap Up, ahead of the RBI News, moved further up during the first half, but saw a massive sell-off during the second half, which broke its strong support zone of 4700/4720. Below 4720, it fell nearly a 100 points more. Friday's move was a typical "shake-out" move, which would have shaken out the weak shorts, before breaking the strong support level of 4700. After a 120 point intraday fall, very few traders can Open Fresh Shorts, and Nifty fell another 80-90 points after that. Now, as long as it stays below 4760 Spot, consider the trend as Down. As of today, only a close abvoe 4840 will change the direction of the Trend. Till then, Bears are expected to make merry, and the Bulls can forget about the Santa Claus Rally.

The Nifty option OI Charts are given below:

Friday was another day which went totally in favour of the Bears. A huge 21 lacs+ OI was added at 4600 CE alone. What was more discerning was the huge covering by the Bears. 37 lacs+ OI was covered in strikes of 4700 PE, 4800 PE and 4900 PE. The level of 4700, which had the highest OI, is now going to be the toughest resistance for Nifty, as the writers of 4700 PE, who are stuck in shorts will try to exit at every opportunity now. The next good support for Nifty comes at 4500 level. However, it is interesting to note that in spite of such a big fall, resistance for Nifty as per the Options Charts comes way above at 4900 level. Hence, the Bears should soon start writing Call Options, else the prospect of a fierce short covering rally will be always on the cards.

For tomorrow, immediate resistance for Nifty Spot will now comes at 4675/4680 level and then at 4700/4720 levels. Any rise, if it comes towards 4740/4760 levels should be used to build short positions, with stoploss at 4760 on closing basis. On the downside, support for Nifty Spot comes at 4630/4640 levels. Below 4630, no predetermined support exists till 4550, and whatever support Nifty forms before that level is anybody's guess now. Hence, it is better to stay with the trend, and worry only about the resistances rather than supports at this point.

19 Dec - Nifty Spot resistance at 4675-4700-4720-4745. Support at 4640-4625-4580-4550 - www.niftypower.com

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16 Dec - Nifty View

Nifty opened below its support level of 4720 today, and gave an intraday scare to traders by sliding towards 4670 levels, before staging a comeback and close near the closing level of yesterday. Today, once again the Bulls managed to save the level of 4700. For how long they can do that, remains to be seen. This was the fifth attempt by the Bears to break this level, which failed. Whether they can do it, remains to be seen. At this time, any close below 4720 should be good for initiating Positional Shorts. On the upside, Resistance remains at 4840/4850 zone and then at 4920 level, and Longs should be attempted only if these levels are crossed.

The Nifty option OI Charts are given below:

On the Options front, there was an addition of 17 lacs+ OI at 4700 CE and 4900 CE strikes by the Bears. Another notable thing is the covering seen by both the Bulls and the Bears from 4800 to 5100 levels. This might be in anticipation of some wild moves due to the RBI policy tomorrow. After today's move, 4900 now becomes a minor resistance for Nifty, while 4700 is the biggest support. The range is 4700 to 5100 for the month.

For tomorrow, immediate resistance for Nifty Spot comes at 4770 levels. Above this, Nifty should target higher level resistances of 4795/4800 and 4840 levels. A breakout above 4840 can bring a mini rally towards 4920 kind of levels. On the downside, support for Nifty Spot comes at 4735/4740 levels. Below this, Nifty will again slide towards 4715-4690 levels. Below 4690, panic can spread among the Bulls, and a break of 4640 can come.

16 Dec - Nifty Spot resistance at 4770-4800-4840-4880. Support at 4735-4715-4690-4670 - www.niftypower.com

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15 Dec - Nifty View

Nifty opened down today, and traded with volatility to make an intraday high of 4839, near our strong resistance zone of 4840/4850, before sliding and closing near the lows of day. It is still trading within the range. A close below 4720 or above 4840 should be considered as breakout points to initiate fresh Positional trades now. Till then, intraday trades with tight stoplosses should give better results.

The Nifty Option Open Interest charts are given below:


The action was once again limited to just one strike, that of 4800 CE, where an addition of nearly 8 lacs was done by the Bears. Apart from that, there is hardly any addition worth talking about. From the OI Charts, important to see an OI of nearly 90 lacs at 4700 PE and 5100 CE. Since 5100 CE is quite far off, keep in mind the OI at 4700 PE for the time being. If this level breaks and Nifty closes below 4700, it will be very interesting to see how the writers of these Puts react. If these guys panic, then we can see a big fall below 4700. Hence, all Long Trades should strictly have a stoploss at 4700 on closing basis. Till then, assume that this level will Hold, which is obvious as per the Options Data.

For tomorrow, immediate resistance for Nifty Spot comes at 4780/4785 levels. Above this, it will again target its resistance zone of 4815 and 4840/4850. If somehow manages to cross above 4840/4850 zone, we can see panic covering from the Bears. On the downside, support for Nifty Spot comes at 4745/4750 levels. Below this, the all important levels of 4720 will come into picture. A break of 4720 will be the first indication of a breakdown, and Positional shorts can be initiated with a Stop and Reverse of 4760.

15 Dec - Nifty Spot resistance at 4780-4815-4845-4880. Support at 4745-4720-4690-4640 - www.niftypower.com

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14 Dec - Nifty View

On Tuesday, Nifty opened down on negative global cues, held on to its support of 4720 and made a recovery to 4800 level, sold off again to test 4730, before recovering dramatically in the last half hour of the trade, to close above 4800 level. Yesterday's Options Data showed a strong support at 4700 level, which was saved by the Bulls today. Going forward, a break of 4720 and a close below 4760 will be the first indication of weakness in the market. Till then, consider 4700 to 4900 as the trading range, until we get a breakout. Upside, resistance for Nifty Spot exists at 4810 and 4840/4850 levels. Crossing these levels, a test of 4900/4920 looks likely. The larger trend still remains down, and this rally will be looked at with suspicion till 4920 is not crossed on the upside. Above 4920, its a different game altogether.

The Nifty Option Open Interest charts are given below:


On the Options front, very less action was witnessed by both the Bulls and the Bears. The Bears added 5 lacs+ at 4700 CE and 8 lacs+ at 5100 CE strike, but did not do much at any other other strike. On the other hand, the Bulls covered small amounts at 4800 PE and above strikes. Overall, the Option Charts remain the same as yesterday. 4700 is a support, while 5100 is the resistance. In between, 4800 and 4900 are the 50:50 levels for both, the Bulls and the Bears. 5000 is a minor resistance.

For tomorrow, immediate resistance for Nifty Spot comes around 4820 levels. If sustains above this, then it will head for next strong resistance zone of 4840/4850. As given earlier, above 4850, a retest of 4920 resistance is likely, with minor resistance around 4880 level. On the downside, support for Nifty Spot comes at 4780/4785 levels. Below this, Nifty will slide towards 4745, 4720 and 4690 levels. Below 4690, the Bulls are likely to panic, and we may see some panic selling. However, after today's bounce, look to Buy the Dips tomorrow, till Nifty Spot stays above 4780 level.

14 Dec - Nifty Spot resistance at 4820-4845-4885-4920. Support at 4780-4745-4720-4690 - www.niftypower.com

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13 Dec - Intraday Update

13 Dec - Nifty View

In Yesterday's Nifty View, it was given that a break of 4840 would be a first indication of a breakdown, to be confirmed by a break of 4800. Nifty opened up on positive global cues today, but quickly gave up its gains to break 4840, and then confirmed the breakdown by breaking 4800 and closing near the lows at 4760. The downtrend has been confirmed, and as of now, 4920 Spot is the invalidation point for this downtrend. Any bounce if it comes towards 4810/4840 will be a reselling opportunity this week. On the downside, it is now again approaching the lower end of the broad range that it has been trading in since August of this year. A break and close below 4720, may this time bring bigger downsides.

The Nifty Option Open Interest charts are given below:


As on Friday, the day belonged the Bears once again, with very little action from the Bulls, except for covering of Puts at 4900 PE and higher strikes. The Bears added a big amount of 26 lacs+ OI at 4700 CE and 4800 CE strikes. The biggest OI from the Bulls still remain at 4700 PE, and they have not yet covered their positions. Even the OI at 4800 PE is more than that of 4800 CE, although Nifty closed well below that level. Either these Bulls are confident of holding 4700 and a revisit above 4800 level, or else they are soon going to panic, if Nifty breaks and closes below 4700 this week. Hence, the level of 4700 on the downside, and 4810 on the upside are the next levels to watch, and take trading positions.

For tomorrow, immediate resistance for Nifty Spot comes at 4780 level. Sustaining above this, it will attempt 4805/4810 levels, where again the Bears are expected to be active. As given earlier, 4810/4840 can be a reselling area for Positional Shorts, as this zone will be toughest to cross in case of any dead cat bounce. On the downside, support for Nifty Spot comes around 4720 level. A break of this level will lead Nifty to test lower supports of 4685/4690 and 4640 levels. 4640 was the recent low, and the Bulls will try to defend it and try to make a higher low this time. If they fail, the the pattern of lower lows, lower highs will continue, and there will be no respite for the Bulls.

13 Dec - Nifty Spot resistance at 4780-4810-4840-4895. Support at 4720-4685-4640-4610 - www.niftypower.com

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12 Dec - Nifty View

On Friday, Nifty closed the Gap formed on 1st December, and traded with volatility between within the gap area. In the process, it has formed a Doji on Daily charts, and a decisive move may be just around the corner, if Nifty manages to move outside of the range of Friday. A move above 4920 Spot will be the first indication, and a move above 4960/4980 will confirm the breakout. On the downside, a break of 4840 will be the first indication of a breakdown, to be confirmed by a break of 4815/4800 on the downside.

The Nifty Option Open Interest charts are given below:

There was quite a bit of action from the Bears on Friday. They added a big amount of 28 lacs+ OI between 4800 CE to 5100 CE strikes. On the other hand, the Bulls covered 12 lacs+ OI at 5000 PE and 5100 PE strikes. 4900 has become a clear 50:50 level after Friday's move, and the overall range has shifted down to 4700 to 5100. Within this broad range, 4800 is a minor support, and 5000 is a minor resistance.

For tomorrow, immediate resistance for Nifty Spot comes at 4895-4900 levels. If it manages to sustain above this level, it will again target Friday's high of 4920. Above 4920, a mini breakout can be seen for next resistance levels of 4955 and 4985. On the downside, support for Nifty Spot comes at 4855/4845 levels. A break below this, Nifty Spot will head for lower level of 4815-4785 and 4745 levels.

12 Dec - Nifty Spot resistance at 4895-4920-4955-4985. Support at 4850-4815-4785-4745 - www.niftypower.com

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9 Dec - Nifty View

In Yesterday's Nifty View, it was given that Wednesday's movement of Nifty looked like a Failed Breakdown, and on a move below 5000, Positional Shorts could be taken. That failed breakout was confirmed today, as Nifty moved below 5000 in the morning trades, and then another 80 points from there, before recovering to close just above its important support of 4930. It made a low of 4921 today, near to the lows made on 1st and 2nd December. A break below this low now can lead to the filling of the gap created on 1st December, and Nifty can slide further 4850/4840 levels. How it reacts at those levels remains to be seen. For now, 5000/5005 should be the immediate stoploss for any Positional Short trades.

The Nifty Option Open Interest charts are given below:

The day was again a low volume one on the Options front, but belonged to the Bears entirely. The Bulls covered 14 lacs+ OI at 5000 PE and 5100 PE strikes. On the other hand, the Bears added a good amount of 29 lacs+ OI from 4800 CE to 5200 CE strikes. The range as per the Option Charts has contracted now, and is now from 4800 to 5100. Between them, 4900 and 5000 are the 50:50 levels.

For tomorrow, immediate resistance for Nifty Spot now comes at 4965 levels. Above this, next resistance levels are 4985 and 5005 levels. A crossover above 5005 can lead to some short covering which can again lead to a test of 5070 and higher levels. However, 5005/5015 will offer a stiff resistance and the Bears are not expected to give i so easily. On the downside, immediate support for Nifty Spot comes at 4915/4910 levels. if Nifty slides below this, it will set it up to fill the Gap created on 1st December, which can take it down towards 4850/4840 levels.

9 Dec - Nifty Spot resistance at 4965-4985-5005-5050. Support at 4910-4885-4850-4820 - www.niftypower.com

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8 Dec - Nifty View

Nifty opened flat today, but quickly broke above Monday's high and did an intraday rally towards 5100, but gave up its gains towards the end to close near 5050 levels. After the Doji of Monday, today's move above the Day High should have led to a breakout. A close near to the day's low open the possibilities of a failed breakout. Now once again, the levels of 5000 on the downside and 5070 on the upside become important for a breakout/ breakdown. A move above or below these levels can be used to initiate Positional Trades with tight stoploss.

The Nifty Option Open Interest charts are given below:

The Option Charts reinforces the indecision among the trades. The Bulls added a small amount of 18 lacs+ OI from 4800 PE to 5200 PE strikes. From the Bears side, addition of 8 lacs+ OI at 5300 CE shows the lack of conviction. There was very little action at the ITM Options by both the Bulls and the Bears. Real support from the Options Charts comes at 4800 and Resistance above 5200 levels. In between, 4900, 5000 and 5100, all are the 50:50 levels between the Bulls and the Bears.

For tomorrow, immediate resistance for Nifty Spot now comes at 5065/5070 levels. If it manages to sustain above this, it will again head for 5100+ levels. Above 5100, next level of resistances comes at 5130/5135 and 5165 levels. Above 5165, some panic short covering by the weak Bears can take Nifty towards 5200+ levels. However, 5100/5130 zone will be the toughest resistance for Nifty to cross on the upside now. On the downside, support for Nifty Spot comes between 5030/5015. Below 5015, Bears will have an upper hand, and they can push Nifty to below 5000 levels, towards 4965/4940 levels.

8 Dec - Nifty Spot resistance at 5070-5100-5130-5165. Support at 5015-5000-4965-4930 - www.niftypower.com

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