Market Outlook

Support comes in at the 22769, 22526, 22300, 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 while resistance comes in at 23111, 23400, 23667, 23894, 24200, 24492, 24792, 25446, 25100, 25800, 26400.

The Nifty seems to have stagnated a bit and has moved sideways for 10 trading sessions which could be a lull before the storm but the overall picture remains under pressure despite an oversold situation developing indicting some more time as well as price adjustment. Maximum call open interest comes in at 24000 followed by 23500 while maximum put open interest comes in at 22000 followed by 23000 indicating a slightly wayward trading range (a bit surprising considering the fact that we are in the last 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 reduction in open interest during the week to end at 01.33 cr (rounded off) and has seen a decrease of nearly 03.13% (rounded off) on the last trading session of the week; the Bank Nifty has seen some open interest being reduced during the week to end at 22.50 lakh (rounded off) compared to the last week; has actually seen open interest (03.00%) 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 16.00 level (in terms of closing) except that it ended at 16.74 (higher from an intra week low of 15.18) which has resulted in the Nifty generally being mixed during the week. The Nifty has expanded its range a bit which now lies between 23000 an the downside and 23400 on the upside and a breach on either side of this range will determine the direction of the immediate future direction. A Vix of 16.75 doesn’t help but an expiry week and the union budget would mean volatility; Stay away. Support comes in at the 22769, 22526, 22300, 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 while resistance comes in at 23111, 23400, 23667, 23894, 24200, 24492, 24792, 25446, 25100, 25800, 26400.