The index has managed to respect its 50% retracement level (to ATH) @ 24365, led by substantial FII buying. The index had already broken beyond the long-term downward trend channel a few days back and is now trading in a rangebound upward trend channel. There is a high possibility of the index moving up further in the near-term where the DIIs will look to offload. Although Stochastics is at an overbought zone, the dip could be bought until it finds support at its 1 week’s avg @ around 24500.
LONG, if the index sustains above 24600 for targets of 24820-25050-25230. Ideally one should go long, positionally (for the last target), around 24500 if opportunity is found.
SHORT, if the index trades below 24600 for targets of 24500-24350-24000. Ideally one should wait to short around 25200, but a sign of weakness around 24800 should be enough signal.
LONG, if the index sustains above 24600 for targets of 24820-25050-25230. Ideally one should go long, positionally (for the last target), around 24500 if opportunity is found.
SHORT, if the index trades below 24600 for targets of 24500-24350-24000. Ideally one should wait to short around 25200, but a sign of weakness around 24800 should be enough signal.