The Sensex and the Nifty 50 commenced the session with a gap-up opening and continued to trend upwards. Both the benchmark indices have advanced more than 1.2 per cent each. The market breadth of the Nifty 50 is biased towards advances. On the other hand, the India VIX has slumped 2.6 per cent to 19.1, indicating decrease in volatility. The Nifty mid- and small-cap indices have gained 0.77 per cent and 0.8 per cent respectively. All the sectoral indices are trading in the positive territory and the top gainers are Nifty PVT Bank and Nifty Financial Service sector indices that have gained 2 per cent and 1.8 per cent respectively.
The May month Nifty 50 contract began the session with a gap-up open at 15,011 and continued to trend upwards after marking an intraday low at 14,992. The contract has surpassed the key resistance at 15,100 and recorded an intraday high at 15,147. As long as the contract trades above 15,050, the near-term stance stays positive. Traders can buy on dips with stop-loss at 15,050 levels. A decisive rally above 15,140 can take the contract northwards to 15,160 and then to 15,185. Next resistances are placed at 15,200 and 15,225. Key supports below 15,050 are placed at 15,020 and 15,000.
Strategy: Buy on dips with a stop-loss at 15,050 levels.
Supports: 15,050 and 15,020
Resistances: 15,140 and 15,160