Day Range as per Option Table is 6654 - 6762 and as per VIX is 6589 - 6804 with 6711 as the Pivot.This gives us more or less where we could end up...The vix is still high at 30.59 and SMR is showing a bearish trend.We could see spot Nifty touching 6650 and / or lower to 6630 / 20 and may be even the extreme 6590 before returning for the ride up.By this time the buying will increase and should drive the Index up.Then one has to keep in mind the bank nifty, which is showing some sign of weakness and if it cracks then all bets are off.
Coming week will set the trend for the election for the election result rally.May be we could see it setting in by late afternoon.Caution is the word, hedging is seriously advised, nothing is certain in this result .If the mandate is fractured the correction can extend up to 1000 points.
With all the noise in the market of Modi victory, the inner core of the party is still not convinced that they will get the majority to form the government. Modi on his own seems to believe it is a certainty. Alas nothing is certain till the person living on Raisana hill calls you formally and anoints you as the PM.The market has the dubious of predicting the wrong result, history always showed it has made wrong calls and may be it might change this time round or will it?
Selling call options in this market and sticking to futures rather options is another safe measure in this market.Exit from the market every day....... leaving calls or futures overnight can lead to shocks which are really not necessary.
In closing keep these figures in mind when making a trade....... on upside first resistance is at 6730-35 level.Next resistance are at 6764-69,6780-95,6820-25,6855-60,6683-88,,6922-27,6960-65,7002-7007 level On downside first support is at 6661-56 level others that follow are at 6628-23,6600-595,6573-68,6541-36,6510-05,64 85-80,6443-39,6395-90 level.