Nifty Future moved in a narrow sideways range in past two sessions. It also broke the key level of 10538 to trigger a sell signal of the ‘ Double close key reversal pattern’ and negated it in the same session by moving above 10596.55.Normally the failed sell signals are many times the good buy signals.However with a key resistance at 10605 and the Keltner Channel resistance at 10655 and the others oscillators and indicators in the overbought zone, it still appears that the correction may set in very soon.
The key supports for it for this week are at 10578, 10562, 10514 and resistance at 10606.
The day traders can sell it below 10562 with a stop loss of 10598 for the target of 10514, 10487.
The stop loss of the positional trade sell trade created in the last session is not yet triggered. Maintain the same stop loss of 10598. One can add more below 10514 with the stop loss of 10565 on a closing basis for the target of 10354. Once it starts trading below 10514, move the stop loss to an earlier position at 10565.
Please do not trade first 15 minutes of the session.
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