morning thoughts...

The markets reacted once again from the crucial resistance zones of 17600 on nifty and 39500 on bank nifty on back of weak global cues and fii selling which may retake the nifty to base 17000 levels and bank nifty to 37000 levels in the short term which yet again stands as crucial support zones for the markets

Technically the markets will consolidate and move in the same range with volatile moves , on break of 16800 which is the last cushion zone for two times , a gate to 16200 may open , for bank nifty a move below 36500 may trigger 35000

However as long as 16800-900 is maintained as a base zone , nifty may try to inch towards 17100-200 levels which remains as a supply zone for the markets , a move sustaining above 17366 only will again take the nifty to 17600 levels

In comparison to nifty , bank nifty remains little strong and can be used for multiple trades in against nifty

Last week , we had mentioned that after 9th feb the move for options will open as call writers are active and decay in premium will be high along with 500 points move in nifty and 1500 in bank nifty which was completed after 9th feb in 2-3 trading sessions

With the volatile moves of index , stocks are also likely to feel the wrath , however it would be viable to look for aluminium , chemical , sugar , nbfcs , IT on any dip for adding longs in futures and options

Power , diffusers looks weak and calls for shorts and puts at rise

Commodities looks subdued in  base metals and buy in bullions and energy

Stocks to watch

Nifty and bank nifty as bove

Buy hindalco and nalco on dips 

Buy tcs 3700 ce

Buy aurobindo pharma 700 ce

Buy icici bank , dlf in fo , options in dips or panic

Buy crude , gold , silver mcx