Nifty is trading lower. It is currently trading at 23,694, down 0.14 per cent. The advances/declines ratio is at 23:27. It will have to be seen if this ratio is turning in favour of the advances during the day. If that happens, then we can Nifty moving higher again today.
Nifty 50 outlook
The resistance at 23,770 is holding well on the Nifty 50 (23,694) now. Immediate support is at 23,660. A break below it can take the Nifty down to 23,600 during the day. After this fall, the chances are high for the Nifty to rise back again towards 23,700 and 23,750.
Broadly the outlook is bullish. But an intermediate dip to 23,600 looks likely before a fresh rise happens.
Nifty 50 futures
The Nifty 50 June Futures (23,685) is down 0.18 per cent. An intraday dip to 23,650-23,630 is possible now. A bounce thereafter can take the contract up to 23,700-23,750.
The region around 23,750 is an important resistance now. A break above it can boost the momentum and will clear the way for a rise 23,900 in the coming days.
Nifty 50 June Futures contract will come under pressure only if it declines below 23,630. If that happens, a fall to 23,600 and 23,550 can be seen.
Trade Strategy
Trader can wait for dips and go long at 23,660 and 23,640. Keep the stop-loss at 23,610. Trail the stop-loss up to 23,680 when the contract moves up to 23,705. Move the stop-loss further up to 23,710 when the contract touches 23,725. Exit the long positions at 23,740.
Supports: 23,630, 23,550
Resistances: 23,750, 23,800