Nifty Call: Go long with a stop-loss at 10,825

Nifty 50 June Futures (10,848)

The Nifty 50 futures has begun the week on a strong note. The index futures opened with a wide gap-up of 33 points and surged to a high of 10,849. Though the contract reversed lower from the day's high, it has managed to bounce back again after making a low of 10,801.

The outlook is positive. An upmove to 10,870 is likely in the near-term on a break above 10,870. A strong break above 10,870 will then pave way for the next target of 10,910.

Traders can go long. Stop-loss can be placed at 10,825 for the target of 10,890. Revise the stop-loss higher to 10,860 as soon as the contract moves up to 10,870.

The near-term view will turn negative if the contract breaks below 10,830. Such a break can take the contract lower to 10,820 or 10,800.

Strategy: Go long with a stop-loss at 10,825

Supports: 10,830, 10,800

Resistances: 10,870, 10,900

 

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