Nifty future today expired at 9767 with gain. Today we saw another weak opening and nifty future hit low of 9695 and then in last hours we saw sharp short covering and nifty closed in green with some gains. Nifty future given bearish breakdown at 9925 levels and then short term downtrend hit my given bearish target of 9700. Below 9700, next, major support is around 9500 and on next breakdown that will be target zone.
Nifty future daily chart, price trend and momentum both are bearish. Prices are trading way below major short term averages as fall was sharp and sudden. On upside 9850 is 5 days average level and first resistance zone on chart. Above it 9915 and 9960 are 50 and 20 days average levels and next resistance zones. Daily chart RSI is oversold and suggesting reversal rally while MACD is -20 and with sell signal given at 10085 levels.
For future traders, nifty future outlook above 9700 remain bullish on recovery rally or for short covering rally up to 9850 to 9925 level if breaks 9700 level decisively then go short with stop loss for next bearish swing target 9485 level .
Nifty option traders above 9700 support, keep buy and accumulate trading strategy in nifty 9700 call options of this expiry or nifty 9800 call options of next expiry with stop loss for big gains in next week. We already saw nifty 9900 put options rallied from low near 12 rupee to highs of 197 rupees in this week.