Nifty call: Buy on declines with stop-loss at 9,430

Nifty 50 May Futures (9,445)

The Nifty futures contract started the session with a gap-up at 9,448 levels at the open, and recorded an intra-day high of 9,454. Subsequently, on witnessing selling pressure, the contract declined to mark an intra-day low of 9,437. But taking support at around the intra-day low, the contract started to move higher once again.

The Asian markets are showing mixed trends, the Nikkei 225 is down 14 points at 19,869.8, while the Hang Seng index has gained 193 points to trade at 15,349 levels. The MSCI AC Asian Pacific index is flat at 150.8 levels.

The Nifty 50 index is also volatile. The market breadth of this index is biased towards advances. As long as the contract trades above the immediate key support level of 9,430, the near-term outlook will remain positive. Traders with a high risk appetite can consider buying on declines, with a stop-loss at 9,430 levels.

Resumption of the up-move can take the index higher to 9,455 and 9,475 levels in the near term. Conversely, a strong fall below 9,430 can usher in selling pressure and drag the contract down to 9,410 or 9,400 levels. A further fall below 9,400 can pull the contract lower to 9,380 and 9,360 levels.

Strategy: Buy on declines with stop-loss at 9,430

Supports: 9,430 and 9,410

Resistances: 9,455 and 9,475

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