Nifty futures saw a negative breakdown of 5700 level, heading towards 5631 level. We now have negative outlook in nifty, we see we can correct towards 5515 level or even 5466 level. The major negative news in markets are growing inflation, surging crude oil prices, this will create pressure in interest rates in near term. So we will look for the selling opportunity near 5678 level for near term target of 5522 and 5466 levels keeping stop loss at 5711 on closing basis. So as long as nifty is trading below 5700 level we see limited upside upto 5700 with downside potential target of 5624 level.
Currently Nifty is trading positive. But still holding below 5700 level, The short term trend will be negative. Nifty Future trading range may widen, as seen in the support resistance levels.
Nifty Futures Level:
Resistance: 5700 / 5744
Support: 5631 / 5604
Nifty futures trading tips (17 January 2011): Sell Nifty Future near 5683 level for intraday target of 5633 and 5607 levels, also place Stop loss at 5708 level.