10-02-2016 - Index views

Nifty :

            Nifty closed at 7325.05. As rightly posted yesterday, one may initiate a short in Nifty, it did came down. The close clearly suggests a weakness. This is a budget month & still there is no sign of a sustained rally as yet. Holding short is a quite obvious act, only caution is a StopLoss. 7370 / 7400 must be kept as a strict StopLoss for any shorts in Nifty. In case of a reversal & closing above 7370 may take Nifty towards 7420 / 7480 back again. As of now hold the shorts with a StopLoss & in case of closing basis reversal, 7420 / 7480 can be seen.

BankNifty :

                        BankNifty closed at 14,920, a negative close. As stated yesterday, it did not sustain the higher levels & broke the interim support of 15,000 & closed below that. Now this close is a dangerous close as now the next support 14,800 is near & a close below that may lead to a drastic fall in BankNifty. For any good up move / up trend, it has to close above 15,100 at least. Till the time it closes above 15,100, hold the shorts in BankNifty with 15,100 as a StopLoss on closing basis. In case of a reversal, one may see the levels like 15,100 / 15,300.