Thursday, October 31, 2019

OPTION CALL PUT TIPS & NIFTY OUTLOOK FOR 1 NOV 2019

"BUY NOV PNB 70 CALL @ 2.7 TGT 3.5/4.2"
What an awesome comeback of bulls. Market is clearly in a positive setup with festive season seeing improvement in demand and corporate tax rate cut providing the much needed earnings boost. Considering there is likely sequential improvement and earnings visibility. Positive global cues after a rate cut by the US Federal Reserve, buzz of more tax reforms and strategic stake sale in many PSUs lifted the sentiment. The broader Nifty also hit 11945 at day's high. But markets pared some gains on the derivative expiry day to settle off intra-day highs. The Sensex closed 77 points higher at 40129, its second highest close ever, while Nifty settled at 11881.
It seems that markets are enjoying their merry days and are in no hurry to provide a much awaited correction. For the coming session, immediate resistance would be seen at 12000-12100 and a sustainable move beyond this would extend this rally towards 12200. On the flip side, 11800-11700 are likely to act as strong support levels unless this zone is violated decisively, the bulls need not worry.
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Resistance: 12000, 12100, 12200
Support: 11800, 11700, 11600

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