Nifty Spot Outlook for 23rd May

NIFTY

In the previous session Nifty spot opened at a new lifetime high of 11727.95, made a low of 11682.40 , it made a high of 11784.80,  before closing at 11737.90. 

Had mentioned that long trade will get triggered for the day on sustaining above 11775 and short trade will get triggered for the day on sustaining below 11645. Nifty triggered our long trade but did not sustain and traded mostly sideways between our long and short trigger levels.

For the coming week :

Those who are looking to enter fresh longs should wait for Nifty to sustain / close above 11510 and then enter for a initial target of 11615 - 11640 and look to hold further only on sustaining or getting a close above 11640 for the next targets of 11735 - 11835. 

&

Those who are looking to enter fresh short should wait for Nifty to sustain / close below 11305 and then enter for a initial target of 11200 - 11175 and look to hold further only on sustaining or getting a close below 11175 for the next targets of 11080 - 10980.

Nifty had triggered our weekly long trade with a huge gap up on Monday and completed all our targets of 11735 - 11835 and made a high of 11883.55 .

As mentioned last week " Nifty now has immediate support at 11135 - 11120 and it needs to hold these levels on closing basis for a bounce to come " , and Nifty held these levels on closing basis with a close of 11157 after a low of 11108.30 and bounced back by nearly 850+ points on the back of the exit polls predicting a clear majority for the ruling party.

Nifty has its immediate resistance now at 11870 - 11945 and it needs to break above this zone and give a strong close above it for a upmove above the psychological 12000 mark and towards 12400 - 12800.

For the month of May , longs will get confirmed in Nifty with a consecutive close above 11945 for a initial target of 12155 - 12210 and sustaining / closing above it we can see a further move till 12390 - 12585 .  Similarly shorts will get confirmed with a consecutive close below 11550 for  a initial target of 11340 - 11290 and sustaining / closing below it we can see a further move till 11110 - 10910 .

Nifty had confirmed our monthly shorts earlier below 11550 and tested our next target zone of 11110 - 10910 with a low of 11108.30 . Had already mentioned in the previous week that shorts should be booked as the markers had fallen for 9 consecutive sessions and a bounce was due . Nifty bounced back sharply especially on the back of the exit polls giving a clear majority to the ruling government. Now Nifty has immediate resistance near 11870 - 11945 which may be crossed once the final results are out.

The election results will be out today and the markets can get volatile and traders can get whipsawed on both sides . Also its weekly expiry so its better to wait on the sidelines for a day and let things settle down .

Now in the coming session Nifty needs to break and sustain above 11800 to test 11865 - 11885 initially and sustaining above it we can see a further upmove till 11940 - 12000. Similarly breaking and sustaining below 11675 we can see a test of 11610 - 11595 initially and breaking and sustaining below it we can see a further correction till 11535 - 11475

Nifty Spot Levels for the day are

Long above 11800 for 11840 - 11885 - 12000 , SL 11755

Short below 11675 for 11635 - 11595 - 11475 , SL 11720

If you want to see the post in your Inbox , kindly register by adding your email id in  the 'Subscribe to my posts' section on the top right side of the blog. Also please give your valuable feedback by selecting the appropriate reactions box at the bottom of the post.

Disclaimer : These are my personal views and one should do their own research before entering any trades based on them  . The use of the blog is agreement that the blog is for informational and educational purposes only and does not constitute advice in any form in the furtherance of any trade or trading decisions.