NIFTY

NIFTY DANCING WITHIN THE BOLLINGER BAND

Nifty continues to dance within the upper and the lower Bollinger band and the band themselves continue to contract further.
While the nifty has made a new high and also closed on a new high the candle in the 5200 area have been small and on low volumes suggesting that nifty will face difficulties in this area of 5200-5280.
the support now comes at 5180 and then at 511-5069-5014
5069 is the 20DMA while 5014 is 50DMA.

The resistance is at 5225 and then at 5280 with the resistance at 5280 being a strong one.

NIFTY OI DATA.
The 5200 and 5300 call have more than 23lac of open positions which indicate resistance in thse area for the nifty and also indicate that nifty might correct a little bit from here right up to 5100 and may be upto 5000.
The 5100 put do have some OI but its not significant one.
The 5000 puts have more than 38 lac of open position which indicate strong support area in that region,

All in all one can expect a mild correction in nifty up to 5000 area where buying can come in therefore short should be careful near 5000.
Going ahead nifty will face strong resistance near 5280 and a close above it will set up nifty for a target of 5375.