Nifty 50 June Futures (23,335)
Nifty 50 has bounced back well from the intraday low of 23,206. It is currently trading at 23,295, up 0.16 per cent. The advances/declines ratio is currently at 36:14. This leaves the bias positive. If this sustains, then further rise is possible during the day.
Nifty 50 outlook
The support at 23,200 is holding well. Resistance is around 23,400. So, 23,200-23,400 can be the trading range for some time. A breakout on either side of this range will determine the next move.
A break above 23,400 will be bullish. Such a break can take the Nifty up to 23,500 and 23,700 this week. On the other hand, a break below 23,200 can drag the index down to 23,000 and even lower.
As long as the Nifty sustains above 23,200, the bias is positive to break 23,400 and rise higher in the coming days.
Nifty 50 Futures
The Nifty 50 June Futures (23,335) is up 0.38 per cent. Intraday resistance is around 23,400. A break above it can take the contract up to 23,500 and even higher in the coming sessions. Support is around 23,200. A break below it will bring the Nifty 50 June Futures contract under pressure for a fall to 23,000.
Broadly, 23,200-23,400 can be the trading range for the Futures contract also. We will have to wait for a breakout on either side of this range to get clarity on the next move.
Trade Strategy
Traders can stay out of the market for now. Wait for the range breakout and take trades accordingly.
Supports: 23,200, 23,000
Resistances: 23,400, 23,500