Nifty support slips to 22,950; Kalyan Jewellers, DLF on analyst radar

Till Nifty 50 holds below 23,200 zones weakness could extend towards 23,050 then 22,950 levels while on the upside hurdles can be seen at 23,350 then 23,450 zones.

Disclaimer: This article is written by Chandan Taparia, head derivatives & technicals, wealth management, Motilal Oswal Financial Services. Views expressed are his own. Readers' discretion is advised.

Nifty index opened with a gap up but failed to sustain at higher levels as selling emerged from the initial hour and bears remained dominant throughout the session. The index formed a bearish engulfing candle on the daily frame and has been making lower lows from the last six sessions with every bounce being utilised for selling indicating that the broader trend remains under pressure. Now till it holds below 23,200 zones weakness could extend towards 23,050 then 22,950 levels while on the upside hurdles can be seen at 23,350 then 23,450 zones.

On option front, Maximum Call OI is at 23,500 then 24,000 strike while Maximum Put OI is at 22,500 then 23,000 strike. Call writing is seen at 23,500 then 23,400 strike while Put writing is seen at 23,200 then 23,300 strike. Option data suggests a broader trading range in between 22,700 to 23,500 zones while an immediate range between 22,900 to 23,300 levels.

Bank Nifty index opened gap up near 56,900 zones but failed to hold at higher levels in the initial hour of the session. It gradually drifted lower towards 55,800 zones in the latter part of the session as selling pressure was seen at higher levels. It formed a big bearish candle on the daily scale and corrected more than 1,000 points from its opening levels. Now till it holds below 56,000 zones weakness could be seen towards 55,500 then 55,000 levels while on the upside hurdle is seen at 56,250 then 56,500 zones.