Yesterday Nifty closed above an important level of 5130, It looks like we gaining some strength on our way up, Nifty will now attempt to go higher.
Asia is giving good signals this morning as Nikkei225 is trading with gains of 1.75%, Hang Seng and Shanghai Composite are up with green tick of 0.5% to 1%.
Singapore Nifty suggest we will open the trade in the green at around 5180, Nifty will have a good support coming in at 5140 and above the levels of 5210, bout of short covering rally may take place.
5310 on the Nifty will be the next hurdle, although technical are not suggesting a screaming buy on the Nifty Futures so we will wait for a clearer picture.
Trading Strategy: My yesterdays recommendation was not traded as 5180 never came during the trading session, yesterdays High was 5176.
My trading recommendation will be to
Short Nifty Futures at 5210 and buy same quantity of 5300 Call for hedging, targets for short position will be 5040 and 4960.