Pre-Market Analysis for Nifty 50 05 Dec 24: Key Levels, Straddle Price, Option Chain Insights, Technical Indicators, and Predictions & Pre-Market Analysis
Introduction
As we gear up for Thursday trading session, the Nifty 50 index signals a mix of opportunities and challenges. Let’s dive into the key factors shaping market sentiment and the crucial levels to watch. In this analysis, we’ll explore key support and resistance levels, option chain OI data, and technical indicators like RSI and EMA to provide Pre-Market Analysis for the day.
Global Cues
US Markets: Wall Street experienced moderate gain overnight, with the DJI index +46% NDQ +0.66% and S&P 500 closing up by 0.30%. This neutral sentiment could set the stage for a steady backdrop for Indian equities.
Asian Markets: Early trading in Asian markets indicates a bullish sentiment, with indices like the Nikkei +0.71% and Hang Seng -0.58% trading flat to slightly positive.
Key Levels for Nifty 50
Support Level
- Primary Support: 24000
- Critical Support: 24230
Resistance Level
- Immediate Resistance: 24570
- Major Hurdle: 24800
Earlier Nifty50 index closed at 24467 +10.30 (0.04%) with critical support at 24300 level and primary support at 24000 level. On the upside immediate resistance is at 24570 level and major hurdle is at 24800 level. Breaking above 24570 could trigger a bullish breakout. 23500 level will act as next resistance for Nifty50.
On the downside 24300 level followed by 24000 may act as critical support upcoming trading session. Breakdown below 24300 could trigger a bearish sentiment and the next major support will be 24000 level.
Option Chain Analysis
Call Side OI
| Strike Price | Change in OI | OI |
|---|---|---|
| 24300 | -42,119 | 78,889 |
| 24400 | -57,549 | 1,59,763 |
| 24500 | 68,949 | 4,09,238 |
| 24600 | 87,859 | 3,26,979 |
| 24700 | -30,227 | 2,85,579 |
| 24800 | 26,128 | 4,52,674 |
Maximum Call OI was seen at 25000 level followed by 24800 and 24500. Maximum call writing was seen at 24750 and 24550 followed by 24600 Strike price. For Thursday session according to option chain immediate resistance will be 24500 level and major hurdle will be 24800.
Put Side OI
| Strike Price | Change in OI | OI |
|---|---|---|
| 24500 | 91,673 | 2,00,578 |
| 24400 | -20,074 | 1,83,948 |
| 24300 | -46,116 | 2,34,428 |
| 24200 | -15,434 | 2,71,487 |
| 24100 | -39,510 | 2,66,667 |
Maximum Put OI was seen at 24000 followed by 23800 and 23900 Strike Price. Maximum Put writing as seen at 24500 and 24450 followed by 24550 Strike Price.
Option chain data indicates that 24500 followed by 24600 level will be the next hurdle for nifty50 for tomorrow session. As earlier it was predicted by us that after breakout of 24370 the next resistance will be 24500, which was achieved today. On Breakout of 24600 level next resistance will be 24800. Put side OI data indicates that 24300 level will be the critical support for current expiry with 2,34,428OI. On Breakdown of 24300 level 24000 will act as next support followed by 23900 as primary support.
- Calls at 24,500-24600 shows heavy resistance, indicating it as a key hurdle.
- Strong put OI at 24300 confirms it as a crucial support level
Technical Indicators
Relative Strength Index(RSI):
- Current Value: 55.85 (D1)
- An RSI above 60 could indicate a bullish breakout, while a dip below 50 might signal bearish sentiment.
Exponential Moving Average (EMA):
| EMA | LEVEL |
|---|---|
| 10-EMA | 24190 |
| 20-EMA | 24160 |
| 50-EMA | 24370 |
| 100-EMA | 24320 |
| 200-EMA | 23600 |
Market Prediction & Strategy
Market Sentiment:
- Market is likely to be highly Volatile between 24300-24500 level due to high straddle price
Trading Strategy:
- Bullish: Go long above 24570 with a target of 24700.
- Bearish: Short near 24300 with a stop-loss at 24340
Straddle Price
- Straddle price is 237.4
Conclusion
“Nifty 50 is set for a cautious opening with clear support at 24300 and resistance at 24570. Use the option chain and technical indicators like RSI and EMA to guide your trades. Stay disciplined and follow your trading plan for a successful session.”
“Share your predictions for today’s market in the comments below!”