|Nifty Option Data for August|
Nifty could not hold above 5100 today and it paused in the 5080 region for a while before touching the days low of 5032 and closing just below the demand zone of 5050 specified in my last recommendation. Those who wish to go long on Nifty may do so if Nifty holds this belt of 5050 and more buying comes in.
Option data is suggesting highest open interest build-up at 5000 PE strike, however on the upside
the immediate resistance is seen at 5200 CE strike. So a big move is not likely but a modest 100 pts gain is expected if one is able to go long in Nifty at 5050 levels. Keeping stop loss of 4990. so that gives about 1:1.65 R:R ratio.