Pre-Market Analysis Nifty50 09 Dec: Key Levels for Nifty50, Straddle Analysis, Option Chain Analysis, Nifty50 Weightage Stocks, Support and Resistance Levels Technical Indicators and Market Predictions.
Nifty50 Pre-market analysis sets the tone with Friday’s trading session beckoning, Nifty 50 index presents a blend of opportunities and challenges. So, let’s take stock of the main influences on market sentiment and the key levels to be aware of. In this analysis, we will look at key levels for Nifty50, critical support and resistance levels, option chain analysis, and few technical indicators like RSI and EMA, Nifty50 weightage stocks analysis to provide Nifty50 Pre-Market Analysis and Predictions.
Global Cues
US Markets: Shares on Wall Street added a little bit contribution overnight with the DJI index -0.28% NDQ +0.92% S&P 500 closed +0.25%. There could be a neutral backdrop for Indian equities due this sentiment.
Asian Markets: Asian markets have showed a neutral sentiment with indices like Nikkei -0.80% and Hang Seng +1.56% remaining mixed and balanced in their moves.
Key Levels For Nifty50
Support Level
- Primary Support: 23870
- Critical Support: 24300
Resistance Level
- Immediate Resistance: 24850
- Major Hurdle: 25000
Earlier Nifty50 index closed at 24,667 -30.60 (-0.12%) with critical support at 24300 level and primary support at 23870 level. On the upside immediate resistance is at 24850 level and major hurdle is at 25000 level. Breaking above 24750 could trigger a bullish breakout. 24850 followed by 25000 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 & 23870.
Option Chain Analysis
Call Side OI
| Strike Price | Change in OI | OI |
|---|---|---|
| 24500 | -1,203 | 1,04,991 |
| 24600 | 10,310 | 59,998 |
| 24700 | 1,33,997 | 2,17,694 |
| 24800 | 79,812 | 1,55,845 |
| 24900 | 27,565 | 91,554 |
| 25000 | 1,66,311 | 2,87,501 |
Maximum Call OI was seen at 25000 level followed by 24800 and 24500. Maximum call writing was seen at 25000 and 25500 followed by 24700 Strike price. For Thursday session according to option chain immediate resistance will be 24700 level and major hurdle will be 25000.
Put Side OI
| Strike Price | Change in OI | OI |
|---|---|---|
| 24800 | 12,102 | 56,723 |
| 24700 | 1,02,004 | 1,74,693 |
| 24600 | 35,711 | 90,913 |
| 24500 | 37,667 | 1,98,926 |
| 24400 | 40,974 | 1,01,829 |
| 24300 | 59,195 | 1,14,152 |
Maximum Put OI was seen at 24000 followed by 24700 and 24500 Strike Price. Maximum Put writing as seen at 24200 and 24700 followed by 24000 Strike Price.
Option chain data indicates that 24700 followed by 25000 level will be the next hurdle for nifty50 for upcoming session. As earlier it was predicted by us that after breakout of 24600 the next resistance will be 24800, which was achieved in earlier session. On Breakout of 24700 level next resistance will be 25000. Put side OI data indicates that 24500 level will be the critical support for current expiry with 1,98,926 OI. On Breakdown of 24300 level 24000 will act as next support followed by 23870 as primary support.
- Calls at 24700-25000 shows heavy resistance, indicating it as a key hurdle.
- Strong put OI at 24500 confirms it as a crucial support level.
Technical Indicators
Relative Strength Index(RSI):
- Current Value: 59.5 on 1D timeframe.
- 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 | 24360 |
| 20 EMA | 24255 |
| 50 EMA | 24400 |
| 100 EMA | 24325 |
| 200 EMA | 23625 |
Pre-Market Analysis & Strategy
Market Sentiment:
- Market is likely to be highly Volatile between 24500-24850 level. For a scalp trade long above 24750 with SL of 50 points and target of recent high which is near 24850 is suggested.
Trading Strategy:
- Bullish: Go long above 24750 with a target near 24850.
- Bearish: Short near 24500 with a stop-loss at 24550.
Straddle Price
- Straddle price is 359.55 which indicates that market can be highly volatile in upcoming session. Use VWAP in straddle charts for extra confirmation.
Nifty50 Weightage Stocks
Reliance
- Critical Support: 1300
- Primary Support: 1280
- Immediate Resistance: 1330
- Major Hurdle: 1375
HDFC Bank
- Critical Support: 1835
- Primary Support: 1780
- Immediate Resistance: 1880
- Major Hurdle: 1880
Infosys
- Critical Support: 1880
- Primary Support: 1800
- Immediate Resistance: 1940
- Major Hurdle: 1975
Conclusion
“Nifty 50 is set for a cautious opening with clear support at 24500 and resistance at 24850. 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!”
Straddle near 360, market will be highly volatile