Nifty 50 August Futures (25,013)

Nifty 50 is holding above 25,000 but seems to be not getting a strong follow-through rise. The index is currently trading flat now at 25,022. The advances/declines ratio is at 22:28. This is slightly inclined towards a negative bias. Need to see if this sustains or the trend turns in favour of the bulls.

Nifty 50 outlook

Nifty (25,022) has an important intraday support at 24,970 which is continuing to hold well for now. Some resistance is around 25,080. A strong break above 25,080 is needed for the Nifty to gain momentum. Such a break can take the index up to 25,150-25,200 in the coming sessions.

The near-term outlook will turn negative only if the index declines below 24,970. If that happens, a fall to 24,900-24,850 is possible.

The broader bias is positive. So, a fall beyond 24,850 will be less likely.

Nifty 50 Futures

The Nifty 50 August Futures (25,013) is also trading flat like its underlying. The contract has supports at 24,980 and 24,950. Below that 24,900 will be the next important support. An intraday dip to test 24,980 and 24,950 is a possibility. But the chances of the fall extending up to 24,900 will have to be seen.

We can expect the Nifty Futures contract to bounce back from around 24,950 itself. Such a bounce can take the contract up to 25,100. A decisive break above 25,100 will boost the momentum and will take the Nifty 50 August Futures contract up to 25,250-25,300 in the coming days.

Trade Strategy

Traders can go long on dips at 24,985 and 24,960. Keep the stop-loss at 24,920. Trail the stop-loss up to 25,010 as soon as the contract moves up to 25,030. Move the stop-loss further up to 25,045 when the contract touches 25,070. Exit the long positions at 25,100.

Supports: 24,950, 24,900

Resistance: 25,100, 25,250

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