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 has spent the whole week range bound and hanging on to the 22800 level and the situation hasn’t changed even now as the setup remains precarious as a decisive breach of the aforesaid level could mean further weakness. Maximum call open interest comes in at 23000 followed by 23500 while maximum put open interest comes in at 22000 followed by 22500 indicating a slightly tight trading range (not very 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 decrease in open interest during the week to end at 01.51 cr (rounded off) and has seen a down tick of nearly 07.99% (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 29.19 lakh (rounded off) compared to the last week; has actually seen open interest (02.93%) 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 14.40 level (in terms of closing) except that it ended at 14.53 (higher from an intra week low of 12.08) which has resulted in the Nifty generally being mixed during the week. The Nifty has gone nowhere and seems perilously close to breaching the important 22800 level indicating turbulent times despite an oversold situation combined with a holiday curtailed expiry week. Succinctly put, it would be prudent to stay on the sidelines waiting for a clearer picture to emerge. 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.