Market Outlook

Support comes in at the 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 22125, 22526, 22800.

The Nifty has had an unexpected reversal from the beginning of the week and has been under pressure all throughout indicating an interruption of its near term upward momentum. Maximum call open interest comes in at 23000 followed by 22500 while maximum put open interest comes in at 21000 followed by 22000 indicating a slightly arbitrary trading range (a bit surprising considering the fact that we are in the third 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 decrease in open interest during the week to end at 01.25 cr (rounded off) and has seen a decrease of nearly 02.75% (rounded off) on the last trading session of the week; the Bank Nifty has seen some open interest being decreased during the week to end at 19.61 lakh (rounded off) compared to the last week; has actually seen some nominal open interest (00.27%) being lower 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 13.50 level (in terms of closing) except that it ended at 13.69 (higher from an intra week low of 13.52) which has resulted in the Nifty generally being volatile during the week but negative. The Nifty has entered a short term correction and the bias has turned negative for the time being albeit from a short term point of view. A range seems to have been formed between 21834 on the downside and 22526 on the upside and it would need to close above or below these levels to determine the direction of the immediate future trend. Support comes in at the 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 22125, 22526, 22800.