Nifty 50, the benchmark index, began today’s session with a gap-down at 23,917 versus yesterday’s close of 23,995. It is now trading at 23,940, down 0.2 per cent.

The advance/decline ratio of the benchmark index currently stands at 26/24. IndusInd Bank, up 1.6 per cent, is the top performer. Adani Ports, down 2.4 per cent, is the top loser.

The mid and the small cap indices are in the red, indicating a broad-based selling. Most of the sectors too are facing selling pressure. Nifty Metal, up nearly 0.8 per cent, is the top sectoral index whereas Nifty Realty, down 0.9 per cent, is the worst performer in the early trade today.

Nifty 50 futures

The November futures of Nifty 50 began the session at 24,075 versus yesterday’s close of 24,115. It is now hovering around 24,130.

The contract closed below an important support at 24,250 yesterday, a bearish sign. So, for the bulls to call the shots today, they ought to lift Nifty futures above 24,250.

A recovery past 24,250 can take the contract to 24,400, a resistance. Subsequent barrier is at 24,500.

On the other hand, if the contract resumes the downtrend from the current level, it can drop to 23,800. The downswing might extend to 23,500 before the end of this week.

Broadly, Nifty futures might go up to 24,250 from the current level of 24,130 and then resume the downtrend.

Trading strategy

Short Nifty futures now at 24,130 and on a rally to 24,250. Place stop-loss at 24,420. When the contract slips to 23,950, revise the stop-loss to 24,100. Exit at 23,800.

Supports: 23,800 and 23,500

Resistance: 24,400 and 24,500

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