After strong buying yesterday, we have changed our sentiment from consolidation to bullish for near term. Today Nifty futures is trading in tight range, but still given a positive breakout targeting the 5600 level. We see this type of movement to continue for a week, before we see any resistance there. When we speak about Nifty futures, the break above 5555 level has already brought strong buying by the market participants, mainly FII were net buyers. This is sorting that will bring the reversal in the trend of the markets. On the upside targets we find 5600 level. For intraday trading nifty futures must be traded long near 5585 level for target of 5614 and 5631. A protective stop loss must be placed around 5555 level.
At 12:45 PM (IST) Nifty is trading positive by 55 points. Today’s trend will be bullish, However new long positions are likely to be added above 5555 level in open interest, also some short covering is expected. Nifty Future trading range can be seen, as in the support resistance levels below.
Nifty Futures Level:
Resistance: 5602 / 5639
Support: 5580 / 5555
Nifty futures trading tips (25 March 2011): Buy Nifty Future above 5585 level for intraday target of 5614 and 5631 levels, also place Stop loss below 5555 level.