Now, until it stays beneath 17250 zones, weak point might proceed in direction of the subsequent psychological assist of 17000-16800 ranges, whereas on the upside hurdles are seen at 17350 and 17442 ranges, stated Chandan Taparia of Motilal Oswal.
Choices knowledge suggests a broader buying and selling vary between 16800 to 17700 zones, whereas an instantaneous buying and selling vary between 17000 to 17500 zones.
Nifty is now buying and selling beneath all its necessary averages, and the slope of the typical has tilted decrease. Costs on the day by day chart are buying and selling inside the falling channel sample and have to seek out the overhead resistance close to the higher band of the sample, chart readers stated.
What ought to merchants do? Right here’s what analysts stated:
Rahul Ghose, Founder & CEO, Hedged
There was an enormous shorting of calls seen on the 17300, 17400, and 17500 ranges, with the best OI on the 17500 CE stage. In actual fact, the overall OI of offered calls is greater than double that of offered put choices at present. Nevertheless, it isn’t advisable to provoke vanilla brief positions on the index instantly because the risk-reward shouldn’t be in favour.
If somebody needs to nonetheless play for the draw back, they need to provoke cross-calendar spreads on a bounce in Nifty with the 17000 and 16900 strikes of April-end and April 6, 2023, respectively. It will make sure that each a sideways or draw back motion in Nifty is taken care of.Ajit Mishra, VP – Technical Analysis, Religare Broking
The transfer reveals that members will not be snug, citing the US banking disaster and lowering positions, ignoring the information of the bailout. Banking and financials have been appearing as saviors earlier, however the tone has modified utterly now, additional including to their worries. We reiterate our detrimental view and eyeing the 17,000 stage as instant assist in Nifty. Merchants ought to align their positions accordingly.
Rohan Patil, Technical Analyst, SAMCO Securities
The assist for the Nifty is at round 17,050 – 17,000 ranges, and resistance is capped at 17,500 – 17,550 ranges. In case the index breaches beneath 17,000 ranges then 16,800 would be the subsequent assist zone. A robust break above 117,550 will point out a power to maneuver greater.
(Disclaimer: Suggestions, recommendations, views and opinions given by the consultants are their very own. These don’t signify the views of Financial Occasions)