5800 – 5750: Strong Support Zone for Nifty Futures - GEPL Capital

Nifty Futures closed at 5860 which is 80 points lower than its previous close of 5940. Nifty Futures formed intraday high at 5955 but reacted 130 points down to register intraday low at 5825.

The zone of 5800 – 5750 is showing multiple support hence uptrend continuation may be seen from this zone. On the higher side in the area of 5950 – 6000, we recommend to book profits in long trading positions.

Short selling positions can be created in the zone of 5970 – 6000 with the stop loss of 6050 and target of 5800. A short term RSI on daily chart is in overbought territory, still in the buy mode.

Profit booking is recommended above 6000 in long trading positions as temporary halt is expected in the rally. As long as Nifty trades below 5900 on weekly closing basis, the current intermediate trend will be in downward direction.

The intraday resistance levels for Nifty Futures are placed at 5900 & 5950 where as the intraday support levels are placed at 5840 and 5800 respectively.

Source : Equity Bulls

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