Nifty F&O Strategy: Directional move likely, keep stop loss near 17,250 for long positions

- Broader markets recovered swiftly in the last session, and the Nifty closed the week tad below 17600 levels gaining almost 300 points in a single session. BFSI was the major driver of the move while the pharma and technology space remained laggard. At the same time, broader markets have outperformed

Even if there is no major decline, it is capable of injecting markets with some spikes in the near term. It is strongly recommended that one needs to keep leveraged exposure at very modest levels and stay invested in the low beta stocks and with the ones that have improving relative strength. A cautious approach is advised for the coming truncated week.

​​The volatility remained immense given the amount of uncertainties that surrounded the happenings around the world. NIFTY had large and wide moves through the week; the Index oscillated over 1147-point and finally ended with a net loss of 617.80 points (- 3.58%) on a weekly note.

In the following week, several factors are in place that are likely to decide the trajectory for markets. These include key macroeconomic data points in India and across major developed economies, and a lot of corporate news developments.

We enter a “decisive” week; going by the technical setup on the charts, markets may look at initiating a definite directional bias this week and whatever trend it catches on may stay on at least for the short term.

The highlight of the week was the surging US 10-YR yields that put pressure on global equities and India was resilient, but no different. The markets went on to test key support levels on the weekly charts and experienced a technical rebound from there.

The weekly RSI stands at 75.90; it has made a fresh 14-period high. However, it stays neutral and does not show any divergence against the price. The weekly MACD stays bullish and above its signal line. The price has closed above the upper Bollinger band; however, while this can be considered bullish, a temporary pullback inside the band cannot be ruled out.

New Delhi [India], November 20 (ANI): Indian stock indices started fresh week largely on a steady note, with weak cues from global benchmark US markets coupled with uncertainty over monetary policy rates in the United States. At the opening bell, Sensex and Nifty indices in India were less than 0.1 per cent lower from their […]

We have a long weekend this time with Monday, 27th November being a trading holiday on account of Guru Nanak Jayanti. The coming week also has a monthly derivatives expiry lined up as well. Tuesday will see the markets starting by adjusting themselves to the global trade setup. The levels of 19900 and 20030 are likely to act as potential resistance levels.