For the fourth consecutive day, the reins of the market remained in the hands of the bears. The market closed with a decline of 0.5 per cent on the first day of the October series due to selling in banking, financial and technology stocks. On October 1, the Sensex fell 360.78 to close at 58,765.58. On the other hand, Nifty closed 86.20 points lower at 17,532 and formed a doji pattern on the daily chart.
Nifty had also formed a bearish candle on the week scale. The Nifty had lost 1.8 per cent last week. Shrikant Chauhan of Kotak Securities says that after last week’s rally, Nifty has now formed a bearish candle on the intraday chart. Apart from this it is also making lower top series formation. Which is a sign of temporary weakness.
Shrikant Chauhan said that there will be volatility in the near future in the market. For traders, resistance can be seen at 17,650-17,750. At the same time, 17,400-17,300 can act as support.
He further said that Contra traders can take a Contra bet around 17,300. For this, put a stop loss of 17,250. On the other hand, it would be advisable to pocket some profits between 17,650 – 17,750 levels.
Here we are giving you some such data, on the basis of which it will be easy for you to catch profitable deals. It should be noted here that the Open Interest (OI) and volume of stocks in this story are the sum total of three months’ data, not just the current month.
Key support and resistance levels for Nifty
The first support for Nifty is located at 17 470.94 and after that the second support is located at 17,409.77. If the index turns upwards, then it may face resistance at 17,575.24 then 17,618.37.
The first support for Nifty Bank is located at 36,968.4 and after that the second support is located at 36,710.9. If the index moves upwards then it may face resistance at 37,391.4 then 37,556.9.
India Glycol WHV-EAM International Small Cap Equity Fund has purchased 1,86,947 equity shares of the company at Rs 830.22 per share.
Just Dial: Nalanda Equity Fund has sold 5,97,482 equity shares of the company at a price of Rs 990.01 per share.
Stocks coming under F&O ban on NSE
No stock is under F&O ban on NSE as on 4th October. It is to be noted that the stocks included in the F&O segment are put in the ban category if the positions of the securities exceed their market wide position limits.
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