The short-term trend of Nifty continues to be negative. After showing a lack of strength during the recent upside bounce, the market is now placed at the edge of a downside breakout of 19500 levels.
The next lower levels are to be watched at 19,225 levels and immediate resistance is placed at 19,700 levels, said Nagaraj Shetti of HDFC Securities.
OI data showed that on the call side, the highest OI was observed at the 19,700-19,800 strike price, while on the put side the highest OI was at the 19,500 strike price.
What should traders do? Here’s what analysts said:
Jatin Gedia, Sharekhan by BNP Paribas
On daily charts, we can observe that the Nifty is unable to sustain at higher levels. The key hourly moving averages placed in the zone 19,590– 19,640 is acting as a stiff resistance and until the Nifty does not manage to…