Trade setup for Sept 22: Will NIFTY50 hold on to previous week gains on Monday?

NIFTY50

Max call OI:25,400

Max put OI:25,300

(Ten strikes to ATM, 23 Sep expiry)

Indian benchmark indices closed the previous week with nearly 1% gains on Friday, with high volatility. However, the NIFTY50 is expected to open in deep red on Monday owing to weak global cues. The new H1B visa rules are expected to impact IT companies. In addition, the Asian markets traded mixed on Monday morning.

On the technical front, the index failed to close above 25,500 on a weekly closing basis, indicating strong selling pressure at the higher levels. With negative cues, the index is expected to remain under pressure on Monday. According to the experts, the 25,230 remains crucial support on the downside for the index.

On the options data front, the 25,400 calls hold the highest open interest indicating a strong resistance for tomorrow’s expiry. Similarly, on the downside, the 25,300 puts hold the highest open interest, indicating a strong support for tomorrow’s expiry.

Stock Scanner

Long buildup: - Adani Enterprises

Short buildup: - HCL Technologies

Top traded futures contracts: HDFC Bank, Adani Enterprises

Top traded options contracts: Adani Enterprises 2800 CE, Adani Enterprises 2400 PE

F&O securities under ban: RBL Bank, Angel One, HFCL, OFSS

F&O securities out of the ban: NIL

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