Trade setup for Nov 14: Will NIFTY50 hold the weekly gains on Friday?

NIFTY50

Max call OI:2

Max put OI:

(Ten strikes to ATM, 18 Nov expiry)

The NIFTY50 is expected to open lower on Friday amid weak global cues. The US markets witnessed a heavy selloff on Thursday after the NASDAQ closed over 2% lower, followed by the S&P500 & Dow Jones by 1.6%. The selloff intensified after market reports indicated a slower rate cut cycle than anticipated by the Federal Reserve. The GIFT NIFTY is trading nearly 76 points lower on Friday morning, indicating a weak opening for Indian markets.

On the technical front, NIFTY50 formed a doji candlestick pattern on Thursday, indicating indecisiveness by the market participants on the direction. Experts believe the index could pause the rally before marching ahead towards 26,200. For NIFTY50, the near-term support stands at 25,700 and resistance at 26,050.

On the options data front, the 25,500 puts hold the highest open interest, indicating a near-term support for the index. On the other hand, the 26,000 calls held the highest open interest, indicating near-term resistance for the index.

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Long buildup: -ICICI Bank

Short buildup: - Eternal

Top traded futures contracts: ICICI Bank, Tata Steel

Top traded options contracts: HDFC Bank 1000 CE

F&O securities under ban: NIL

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