Market Outlook

Support comes in at the 22125, 21834, 21500, 21020, 20850, 20500, 20222, 19992, 19875, 19667, 19524, 19250, 18888, 18600, 18442, 18200, 18095, 17948, 17792, 17613, 17430, 17226, 17055, 16900, 16700, 16359, 16203, 15900, 15600, 15432, 15257, 15064, 14869, 14653, 14434, 14250, 14000, 13778, 13598, 13400, 13145, 12950, 12770, 12600, 12431, 12292, 12100, 11959, 11856, 11753, 11605, 11495, 11340, 11235, 11143, 11078 while resistance comes in at 22500, 22800.

The Nifty has done the right amount of work needed to form a base and give an upward breakout from its consolidation phase. An almost 10 week sideways movement for the Nifty seems like an ideal take off point indicating the possibility of further upside from here. Maximum call open interest comes in at 23000 followed by 22800 while maximum put open interest comes in at 22000 followed by 22000 indicating a rather large trading range (not very surprising considering the fact that we are in the first week of the current series) compared to the last week but the situation remains fluid with movements expected on either side. Nifty has seen some major increase in open interest during the week to end at 01.28 cr (rounded off) and has seen a decrease of nearly 00.57% (rounded off) on the last trading session of the week; the Bank Nifty has seen some open interest being increased during the week to end at 23.38 lakh (rounded off) compared to the last week; has actually seen some open interest (01.44%) being higher on the last trading session of the week. The Vix has spent almost the entire week in a rangebound movement (with a mixed bias) above the 14.80 level (in terms of closing) except that it ended at 14.99 (higher from an intra week low of 13.53) which has resulted in the Nifty generally being volatile during the week. The Nifty has not only posted a fresh all time high but has also closed at an all time high on the last trading session of the week and seems to be setting the stage for a further upside but the Vix needs to cool off some more to add conviction to an impending upside. Support comes in at the 22125, 21834, 21500, 21020, 20850, 20500, 20222, 19992, 19875, 19667, 19524, 19250, 18888, 18600, 18442, 18200, 18095, 17948, 17792, 17613, 17430, 17226, 17055, 16900, 16700, 16359, 16203, 15900, 15600, 15432, 15257, 15064, 14869, 14653, 14434, 14250, 14000, 13778, 13598, 13400, 13145, 12950, 12770, 12600, 12431, 12292, 12100, 11959, 11856, 11753, 11605, 11495, 11340, 11235, 11143, 11078 while resistance comes in at 22500, 22800.