Nifty futures continuing its downtrend falling from 5900 to 5414 levels yesterday. We are looking for selling opportunities only on every up move from here. Also markets are likely to heavily consolidate, due to high volatility in commodity prices recently. However we will advice traders to build short position on every up move. We are going to see more selling from the current levels which will pull the markets towards the 5200 level of past. So the current trend is down ward and taking the advantage of this downtrend we will be only looking for selling opportunities as long as nifty futures trades below 5416 level for intraday basis. Major support for nifty now lies at 5269 zone, while resistance is likely to be at 5500. Today we will advice traders to sell nifty below 5416 level for intraday target of 5374 and 5327 level, also stop loss for this trade must be placed above 5447 level. The major selling is likely to come from the FII as they have been the major sellers, selling continuously for last 16 sessions. Markets are in downtrend and is likely to witness more selling pressure in today’s session.
At 10:15 AM (IST) Nifty is trading negative by 18 points. Today’s trend will be bearish, However some short covering is likely at lower levels today. Nifty Future trading range can be seen, as in the support resistance levels below.
Nifty Futures Level:
Resistance: 5447 / 5500
Support: 5371 / 5323
Nifty futures trading tips (19 May 2011): Sell Nifty Future below 5416 level for intraday target of 5374 and 5327 levels, also place Stop loss above 5447 level.
Buy Nifty Future above 5461 level for intraday target of 5483 and 5504 levels, also place Stop loss for long positions at 5445 level.