Nifty Spot Outlook for 24th May

NIFTY

In the previous session Nifty spot opened at 11901.30, made a new lifetime high of 12041.15 , it made a low of 11614.50,  before closing at 11657.05. 

Had mentioned that long trade will get triggered for the day on sustaining above 11800 and short trade will get triggered for the day on sustaining below 11675. Nifty triggered our long trade at opening with a big gap up and completed all our day targets with a high of 12041.15 crossing the psychological 12000 mark but then corrected on the back of profit booking after that. 

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. 

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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 extended it by a further 200 points on the confirmation that the ruling government is returning to power . 

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 950+ points on the back of the NaMo wave .

As mentioned in the previous post " 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." , and today we saw Nifty cross 12000 levels intraday but get sold off on the back of profit booking and failing to give a close above the resistance zone of 11870 - 11945.

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 by nearly 950 points and also crossed our resistance zone of 11870  - 11945 but failed to close above it due to profit booking . 

Now that the major domestic event is over and with the vix cooling off ,  the market will again be getting back to watching earnings and growth for next triggers. 

Now in the coming session Nifty needs to break and sustain above 11720 to test 11795 - 11805 initially and sustaining above it we can see a further upmove till 11860 - 11925. Similarly breaking and sustaining below 11595 we can see a test of 11525 - 11510 initially and breaking and sustaining below it we can see a further correction till 11455 - 11390

Nifty Spot Levels for the day are

Long above 11720 for 11760 - 11805 - 11925 , SL 11675

Short below 11595 for 11555 - 11510 - 11390 , SL 11640

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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.