NIFTY OUTLOOK & FREE NIFTY TIPS FOR 2 DEC 2015

The  Sensex and Nifty50 index swung between gains and losses through the day and traded in a narrow range on Monday ahead of GDP data to be announced later in the day and the Reserve Bank of India’s monetary policy meet on Tuesday. Sensex closed 17 points up at 26145, while Nifty50 index closed 7 points down at 7935. The market traded in a narrow range amid investors eyeing the upcoming important macroeconomic data- Q2FY16 GDP later today and RBI’s monetary policy tomorrow. RBI is likely to hold the rates because they have already cut the rate by 125 basis points during the year. Now the focus should be the transmission of 125 basis points, since banks lending rate has reduced only by an average of 30 basis points in the same time. Market participants are hopeful of GST bill passage; however concerns over FED meeting followed by ECB policy meet limited the gains.

It was a range bound day for this index as it moved within the band of 7985 and 7955 with a swing to 7994 early on. Nifty Future closed the day with modest gains, inching its way up to the 8000 region which is a major target and supply zone and must be taken out decisively for fresh momentum which could then lead it to the 8080-8100 region. The 7960 level is the immediate support below which it may find buying support in the 7950, 7920, 7900 region. The 7880-7900 range may now be considered a critical support region and a decisive breach of this zone could lead to panic offloading pushing it down to retest the earlier supports.

Resistance: 7995, 8035, 8082
Support: 7960, 7920, 7900