Wednesday, June 23, 2010

Nifty to swing either side with 5300 as the pivot ...


The strong correction happened towards the end of the session yesterday though there were no attempts made to reach new highs for the series. Nifty managed to close above 5300 levels.

Looking at the options data, 5300 calls and 5300 puts registered a turnover of around 10,ooo crores and there were unwinding seen in 5200 calls, but not much of accumulation in 5400 puts.


How to trade?

All the option data points to a neutral move in Nifty with 5300 level as the pivot and a swing of 30 points either side and it would be better to initiate shorts around 5333 and longs around 5268 levels with 5302 as the target for either of the trade.

Resistance levels : 5320, 5333, 5350

Support levels : 5302, 5285, 5268


-Happy Trading

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