Wipro Has Strong Resistance at 411 Level, Go Short on Wipro December Future

Wipro after very good bounce in last few days trading session, has now entered its resistance zone which is confirmed by 100 EMA (Exponential moving average) and 23.6% Fibonacci retracement level. So this level (411 level) can act as very strong resistance for this stock and we may see the stock to move lower towards 400 and then 395 levels. Traders can take advantage of this move by going short on Wipro December future in range of 410 to 413 for downside targets as 400 and then 395 levels. However we also advice traders to place their stop loss orders just above 415 level (On closing basis only), which will contradict our trade setup. Yesterday there was 22% jump in open interest and stock was up by 3%. There must be some long build up, but still we will take short position on Wipro future. Going back to charts we have found that 411 has earlier acted as strong support and that strong support was broken, so it is now a strong resistance level.
Looking at Nifty futures we see there is now significant risk in market so taking positions in either direction will involve high risk, remember we have tomorrow reserved for EU Summit, where the resulting outcome (NEWS) will drive market further. However we will discuss a Jackpot options strategy tomorrow morning, so take the advantage of it by actively participating here. You can also learn how to do this analysis by joining our Technical Analysis Course or Call us @ +91-9970777789.