Nifty December Futures (8,630)
The Nifty futures contract is displaying a lack of momentum. The contract opened at 8,630, recorded a high of 8,659.95 and fell to a low of 8,617.4.
Support is at 8,615 which is expected to hold and limit the downside in the coming sessions. There is a strong likelihood of a sideways consolidation between 8,600 and 8,670 until the Reserve Bank of India’s monetary policy meeting which is due tomorrow.
However, the broader outlook remains bullish. Traders can go long at current levels. Stop-loss can be placed at 8,605 for the target of 8.660.
The outlook will turn bearish if the contract records a strong break below 8,600. Such a break can drag the contract lower to 8,570 and 8,550.
Strategy : Go long with a stop-loss at 8,605
Supports : 8,615, 8,600
Resistances : 8,670, 8,700