Nifty 50 December Futures (24,748)

Nifty 50 remains stable. The price action over the last few days indicates the absence of strong sellers to drag it sharply lower. The support at 24,600-24,500 region is holding well for now. That keeps the broader bullish view intact. Nifty is currently trading at 24,640, up 0.12 per cent. The advances/declines ratio is at 29:21. This is positive.

Nifty 50 outlook

As mentioned above, Nifty is getting support in the 24,600-24,500 region. Some resistance is around 24,700. The bias is positive to break 24,700 and rise to 24,800 in the coming sessions. That will also keep the doors open for the Nifty to see 25,000 on the upside in the short-term.

Nifty has to fall below 24,500 in order to come under pressure.

Nifty 50 Futures

The Nifty 50 December Futures (24,748) is up 0.27 per cent. It can test 24,800 which is the next intraday resistance. We expect the contract to breach this hurdle and extend the rise to 25,000 in the next few days.

Support is in the 24,650-24,600 region. The outlook will turn negative only if the contract declines below 24,600. But that looks less likely.

Trade Strategy

We had suggested to go long at 24,680 and 24,630. The average entry of this trade is 24,655. Hold on to this trade. Revise the stop-loss up to 24,580 from the initial level of 24,480. Trail the stop-loss up to 24,720 as soon as the contract goes upto 24,830. Move the stop-loss further up to 24,860 when the contract touches 24,920. Exit the long positions at 24,970.

Support: 24,600, 24,500

Resistances: 24,800, 25,000