On the options front, a significant amount of short gamma call option positions are running for cover, indicating a continued upward momentum for the index.

IIFL Securities

Technical view: Outlook on Nifty
Analyst: Jayesh Bhanushali, Sr. Derivative & Technical Research Analyst
The Nifty index has witnessed a strong recovery and is marching towards its fresh lifetime highs. The index future witnessed an addition of long positions with the underlying price negating the lower top lower bottom formation on the daily chart during Wednesday’s trade.

On the options front, a significant amount of short gamma call option positions are running for cover, indicating a continued upward momentum for the index. We expect the index to continue to scale higher and test our immediate target price of 15,500 during the March series.

Tech Picks

Stock	Reco.	CMP (Rs)	Target (Rs)	Stop Loss (Rs)	Note
SRF	Buy	5,690	5,850	5,550	Stock has given a double bottom breakout on the hourly chart.
Indiabulls Housing Finance	Buy	248	261	235	Stock is on the verge of giving a 8-month consolidation breakout on the hourly chart.
Federal Bank	Buy	88	92	85	Stock has given a flag pattern breakout on the daily chart.

F&O Strategy
Analyst: Rupak De, Senior Research Analyst
The price of Infosys has moved up after a consolidation on the daily time frame, indicating a rise of optimism. The momentum indicator RSI is in a positive crossover. However, there is a swing high resistance around 1,400 on the daily chart. On the options front, Call writers have trimmed their position in the strike prices lower than 1,360, whereas 1,400 CE has witnessed a decent short build up, indicating near-term bullishness with an initial resistance at 1,400.

Trade
Hold till expiry:25 March2021
Buy 1 lot Infosys 25 March 1,360 CE @ Rs 31
Sell 1 lots Infosys 25 March 1,380 CE at Rs 22
Sell 1 lot Infosys 25 March 1,400CE @ Rs 17
Net Premium inflow: Rs8/lot (credit/appx)
Stop Loss: Rs4/lot (Debit/appx)
Target: Rs 18/lot (credit/appx)

Futures: Buy PFC March Future at Rs 134-135
Stop Loss: Rs 128
Target: Rs 148

Commodity Calls
Analyst: Rupak De, Senior Research Analyst

Commodity	Exchange	Strategy
Gold (Apr)	MCX	Sell in range of 45500-45600; SL: Above 45760; Target: 45000/44700
Crude Oil (March)	MCX	Sell in range of Rs 4.500-4,530; SL: Rs 4,560; Target: Rs 4,450/4,400
Copper (March)	MCX	Sell in the range of 709-712; SL: 715; Target: 700/693

FX Technical
Analyst: Rupak De, Senior Research Analyst
USD/INR Status: Likely to move towards 73.3 levels
Call for the day: Go long in March future around 72.50
Target: 73.3
Stop Loss: 72.2

EUR/INR Status: Likely to move towards 87 levels
Call for the day: Go short in March future around 88.50
Target: 87
Stop Loss: 89

(Disclaimer: The opinions expressed in this column are that of the writer. The facts and opinions expressed here do not reflect the views of www.economictimes.com.)

Day trading guide for Thursday

We expect the index to continue to scale higher and test our immediate target price of 15,500 during the March series.

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