Today’s trading session for Nifty 50 seems to be off to a positive start with the index opening higher and showing signs of bullish momentum. The advance/decline ratio is also in favor of the bulls, indicating a positive market sentiment.
The top gainer in the index is ONGC, showing a substantial gain of 3.4%, while TCS is the top loser with a decline of 1%. The mid- and small-cap indices are also in the green today, along with most sectors performing well.
Among the sectors, Nifty Oil & Gas is leading the pack with a 1.6% gain, whereas Nifty Media is the top loser with a 0.6% decline.
Looking at Nifty 50 futures, the contract started the session with a gap-up and is currently trading with a slight uptrend. However, there seems to be some resistance around the 24,000 level, which traders need to watch out for. If the contract breaks above 24,000, we may see further upside towards 24,250 and 24,350 levels.
On the downside, if the contract falls below 23,700, it might indicate a bearish trend with potential support levels at 23,500 and 23,000. Given the recent sharp fall, there could be a consolidation phase in today’s session before a clear trend emerges.
In terms of trading strategy, it might be wise to stay cautious and wait for a clear breakout above 24,000 or below 23,700 before taking any significant positions. Traders can consider shorting the contract with a stop-loss at 23,820 if it breaks below 23,700 and look to book profits around 23,500.
Overall, the market seems to be in a consolidation phase, and traders need to watch for key levels to determine the next direction in Nifty 50 futures. Make sure to keep a close eye on market developments and adjust your strategy accordingly to navigate the current market conditions effectively.
