Nifty Strategy for Today: Giving the strategy on Nifty, CNBC-Awaaz’s Virendra Kumar said that the first resistance is visible at the level of 23283-23327. Whereas the biggest resistance is visible at the level of 23283-23327. In this, the first base is visible at the level of 23119-23169. Whereas the big base is visible at the level of 22966/23021-23083. He said that buying near the second base gave rewards and its closing was also neutral. RIL alone was facing the pressure of Nifty IT and private banks. FIIs still saw heavy selling in cash. Also shorted the index. Net shorts of FIIs now reach a record Rs 3.26 lakh.
He said that heavy call writing is seen in Nifty in 23200/23300/23400/23500 zones. Its 10 DEMA is visible at 23390. As far as the base is concerned, heavy put writing has been seen only at 23000 i.e. 23021-23082. Use first and second base to make purchases in this difficult zone. As long as 23031 is on the screen
Virendra Kumar further said that for today and after the gapup, the first registration is on (23283/23327). If the first resistance is crossed then we can reach the difficult zone of 23390. Check/short trade at the first and second resistance. The index may move from here. Right now the focus should be on the trade zone of 23021-23082 to 23390/23428.
Trade setup for today: Nifty below all important moving averages, consolidation may continue
strategy on bank nifty
Explaining the strategy on Banking Index, Virendra Kumar said that the first resistance is visible at 48836-49061. In this, big resistance is seen at the level of 49288 (10DEMA)-49470/627. In this, the first base is visible at the level of 48241-48431. Whereas the big base is visible at the level of 47929-48111.
He said that he had given a clear warning on Friday that if the first base is broken then it can slip to the second. Short and long unwinding were seen in all the private banks and Axis Bank shares fell. PSUs are not breaking. In this, the zone of 49000 most active call writers is visible. There is no doubt that the index is in a very oversold zone. Will not participate in strengthening until first resistance.
Virendra said that the index may weaken below the first resistance. Focus on short in this. 10 can test DEMA 49288 above the first resistance. In this, if the level of 49288 is crossed then it can go up to 49470/49627 zone. The first and biggest resistance are important reversal points and be prepared to short there. Check for short trades at first and second base.
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