Nifty 50 has opened with a wide gap-up after the long weekend. The index touched a high of 23,368 in the opening trades and has come down slightly from there. It is currently trading at 22,316, up 2.14 per cent. The advances/declines ratio is at 48:2. This indicates that the bias is bullish.
Nifty 50 outlook
Nifty has risen well above the key resistance level of 23,200. This is positive. Immediate resistance is at 23,400. A break above it can take the index up to 23,600 in the coming sessions.
Failure to breach 23,400 can trigger a pull back move to 23,300-23,200. But that can be a good buying opportunity. We expect the Nifty 50 index to sustain above 23,200 and rise to 23,600 if not immediately but eventually going forward.
Nifty 50 Futures
The Nifty 50 April Futures (23,370) is up 1.97 per cent. Outlook is bullish. Support is in the broad 23,200-23,150 region. The Nifty 50 April Futures contract can rise to 23,500 in the coming sessions. A strong break above 23,500 is needed to extend the upmove 23,700 and higher in the coming days.
A reversal from around 23,500 can drag the contract down to 23,200-23,150.
Trade Strategy
Although the outlook is bullish, the risk/reward ratio indicates that traders have to wait for dips to take fresh longs. Go long on dips at 23,310 and 23,240. Keep the stop-loss at 23,120. Trail the stop-loss up to 23,350 as soon as the contract goes up to 23,420. Move the stop-loss further upto 23,440 when the contract touches 23,510. Exit the long positions at 23,600.
Supports: 23,200, 23,150
Resistances: 23,500, 23,700
Published on April 15, 2025
