Market Outlook

Support comes in at the 23894, 23667, 23400, 23111, 22974, 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 24150, 24344, 24588, 24792, 25002, 25212, 25446, 25669, 25800, 25908, 26104, 26277, 26500.

The Nifty has more or less moved on expected lines with stiff resistance at higher levels putting the brakes on a scintillating rally and though one bullish gap is covered up, the other gap still remains to be covered. Maximum call open interest comes in at 24500 followed by 24200 while maximum put open interest comes in at 24000 followed by 23500 indicating a clearly lower trading range compared to the last week (not very surprising considering the fact that we are in the last week of the current series) but the situation remains fluid with movements expected on either side. Nifty has seen solid decrease in open interest during the week to end at 01.23 cr (rounded off) and has seen a down tick of nearly 14.64% (rounded off) on the last trading session of the week; the Bank Nifty has seen open interest being decreased during the week to end at 12.42 lakh (rounded off) compared to the last week; has actually seen open interest (19.81%) being lower on the last trading session of the week. The Vix has spent almost the entire week in a rangebound movement (with an upward bias) above the 16.50 level (in terms of closing) except that it ended at 19.71 (higher from an intra week low of 16.48) which has resulted in the Nifty generally being better during the week. The Nifty has finally walked into a correction while a holiday filled expiry week isn’t going to make life any easier for traders. IT remains a weak spot and it would be prudent to wait on the sidelines for a clearer picture to emerge. Support comes in at the 23894, 23667, 23400, 23111, 22974, 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 24150, 24344, 24588, 24792, 25002, 25212, 25446, 25669, 25800, 25908, 26104, 26277, 26500.