Nifty October Futures (7,910)
The October expiry Nifty Futures opened at 7,956 and immediately spiked to register an intra-day high at 8,018 levels. But the contract failed to sustain above 8,000 levels and started to decline experiencing selling pressure. This fall is also affected by the sell-off in global markets.
Subsequently, the contract breached the key support 7,950 levels and hit an intra-day low at 7,903 levels. The near-term outlook for Nifty Futures is bearish.
Traders with a short-term perspective can sell the contract on rallies with a stop-loss at 7,960 levels. The contract can once again decline to 7,900 levels. A decisive fall below 7,900 can pull the contract down to 7,870 levels. On the other hand, to strengthen the bullish momentum, the contract needs to emphatically rally above 8,025 from an upmove 8,050 or 8,078 levels.
Strategy : Sell the contract on rallies with a stop-loss at 7,960
Supports: 7900 and 7870
Resistances : 7950 and 7975