Nifty futures has been trading lower for last 5 sessions due to negative news of inflation and fear of interest rate hike in near term by RBI. We saw yesterday nifty touching its double bottom of 5744 level which acts as a strong support level. So as long as nifty is trading above 5744 level we see limited downside with upside potential target of 5989 level. So we would we look for buying opportunities in nifty for target of 5989.
Currently Nifty is trading positive with 0.5% strongly holding above 5744 strong support, The short term trend will be consolidation with large volatile moves. Nifty Future trading range can widen, as seen in the support resistance levels.
Nifty Futures Level:
Resistance: 5853 / 5894
Support: 5798 / 5744
Nifty futures trading tips (11 January 2011): Buy Nifty Future only above 5823 level for intraday target of 5853 and 5892 levels, also place Stop loss at 5808 level.
Sell Nifty Future below 5785 level for intraday target of 5766 and 5750 levels, also place Stop loss at 5823 level.