Monday, June 21, 2010

Volatile session ahead as we get into expiry week


Markets reached a peak of 5302 levels, a key resistance level on friday before closing in red after seven consecutive greens.

Options data saw unwinding in all near strike calls and accumulation in puts, pointing to bullishness, but the accumulation seen in 5300 calls could be a deterrent for the day and markets can be pulled back into range on a move towards 5331 levels.


How to trade?

Can accumulate Nifty on every dip for a target of 5331 levels. If markets gaps up to 5331, it is better to wait and watch before initiating any new trade.

Resistance levels : 5285, 5302, 5331

Support levels : 5245, 5203, 5170


-Happy Trading

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