India VIX was up by 2.72% from 12.29 to 12.63 levels. Volatility was up during the day and has been rising since the last two sessions, adding to the swings in the market.
Options data suggests a broader trading range between 17800 to 18500 zones, while an immediate trading range between 18100 to 18400 zones.
What should traders do? Here’s what analysts said:
Kunal Shah, senior technical and derivative analyst at LKP Securities
The index has gone beyond the high point it had reached in the previous week, and the strong buying has led to a shift in the base level from 18000 to 18200. The current situation suggests that the index is still in buy mode, and it will remain so as long as it manages to hold on to the support of 18,200.
Shrikant Chouhan, Head of Equity Research (Retail), Kotak Securities
On daily charts, the index has formed a bullish candle and currently, it is comfortably trading above the 18200 level, which would be the sacrosanct support level. Above the same, the index could move up till 18350-18400, while on the flip side below 18200, the uptrend would be vulnerable.
Jatin Gedia, Technical Research Analyst, Sharekhan by BNP Paribas
The daily and hourly momentum indicator has a positive crossover, which is a buy signal. There is no concrete evidence that the consolidation is complete and hence we change our outlook on the index to sideways from negative. The range of consolidation is likely to be 18000 – 18300. In terms of price pattern, the index might be forming an expanding triangle considering that the intraday range has been expanding. In terms of levels, 18130 – 18110 shall act as a crucial support zone, while 18330 – 18350 shall act as an immediate hurdle zone for the Nifty.
(Disclaimer: Recommendations, suggestions, views, and opinions given by the experts are their own. These do not represent the views of The Economic Times)