Nifty 50 March Futures (7,470)
The Nifty 50 futures contract is trading on a mixed note. It recorded a high of 7,498 but has not been able to gain strength to move past its resistance at 7,500. The contract is stuck within a narrow range of 7,448 and 7,498 today. Whether it is able to break above 7,500 or not will decide the next leg of move.
A strong break above 7,500 will strengthen its bullish momentum. The subsequent target will be 7,535. Further break above 7,535 will take the contract higher to 7,585. Traders can wait for a move above 7,500 and go long with a stop-loss at 7,475 for the target of 7,545.
On the other hand, inability to breach 7,500, will increase the possibility of a corrective fall in the coming sessions. In such a scenario, the contract can fall to 7,440 and 7,400. On a strong break below 7,400 the contract can extend its fall to 7,330.
Strategy : Go long on a break above 7,500 with a stop-loss at 7,475
Supports : 7,440, 7400
Resistances : 7,500, 7,535